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RICK vs. MTN: Which Stock Should Value Investors Buy Now?
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Investors looking for stocks in the Leisure and Recreation Services sector might want to consider either RCI Hospitality (RICK - Free Report) or Vail Resorts (MTN - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Currently, RCI Hospitality has a Zacks Rank of #2 (Buy), while Vail Resorts has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that RICK has an improving earnings outlook. However, value investors will care about much more than just this.
Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its current share price levels.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
RICK currently has a forward P/E ratio of 13.84, while MTN has a forward P/E of 23.61. We also note that RICK has a PEG ratio of 1.15. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. MTN currently has a PEG ratio of 5.06.
Another notable valuation metric for RICK is its P/B ratio of 3.22. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, MTN has a P/B of 4.71.
These metrics, and several others, help RICK earn a Value grade of B, while MTN has been given a Value grade of C.
RICK sticks out from MTN in both our Zacks Rank and Style Scores models, so value investors will likely feel that RICK is the better option right now.
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RICK vs. MTN: Which Stock Should Value Investors Buy Now?
Investors looking for stocks in the Leisure and Recreation Services sector might want to consider either RCI Hospitality (RICK - Free Report) or Vail Resorts (MTN - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Currently, RCI Hospitality has a Zacks Rank of #2 (Buy), while Vail Resorts has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that RICK has an improving earnings outlook. However, value investors will care about much more than just this.
Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its current share price levels.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
RICK currently has a forward P/E ratio of 13.84, while MTN has a forward P/E of 23.61. We also note that RICK has a PEG ratio of 1.15. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. MTN currently has a PEG ratio of 5.06.
Another notable valuation metric for RICK is its P/B ratio of 3.22. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, MTN has a P/B of 4.71.
These metrics, and several others, help RICK earn a Value grade of B, while MTN has been given a Value grade of C.
RICK sticks out from MTN in both our Zacks Rank and Style Scores models, so value investors will likely feel that RICK is the better option right now.