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GPK or ATR: Which Is the Better Value Stock Right Now?
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Investors with an interest in Containers - Paper and Packaging stocks have likely encountered both Graphic Packaging (GPK - Free Report) and AptarGroup (ATR - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Graphic Packaging has a Zacks Rank of #2 (Buy), while AptarGroup has a Zacks Rank of #3 (Hold) right now. This means that GPK's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one factor that value investors are interested in.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their 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.
GPK currently has a forward P/E ratio of 9.14, while ATR has a forward P/E of 30.51. We also note that GPK has a PEG ratio of 0.37. 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. ATR currently has a PEG ratio of 4.36.
Another notable valuation metric for GPK is its P/B ratio of 3.58. 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, ATR has a P/B of 3.71.
These are just a few of the metrics contributing to GPK's Value grade of A and ATR's Value grade of C.
GPK stands above ATR thanks to its solid earnings outlook, and based on these valuation figures, we also feel that GPK is the superior value option right now.
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GPK or ATR: Which Is the Better Value Stock Right Now?
Investors with an interest in Containers - Paper and Packaging stocks have likely encountered both Graphic Packaging (GPK - Free Report) and AptarGroup (ATR - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Graphic Packaging has a Zacks Rank of #2 (Buy), while AptarGroup has a Zacks Rank of #3 (Hold) right now. This means that GPK's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one factor that value investors are interested in.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their 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.
GPK currently has a forward P/E ratio of 9.14, while ATR has a forward P/E of 30.51. We also note that GPK has a PEG ratio of 0.37. 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. ATR currently has a PEG ratio of 4.36.
Another notable valuation metric for GPK is its P/B ratio of 3.58. 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, ATR has a P/B of 3.71.
These are just a few of the metrics contributing to GPK's Value grade of A and ATR's Value grade of C.
GPK stands above ATR thanks to its solid earnings outlook, and based on these valuation figures, we also feel that GPK is the superior value option right now.