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VOYA vs. BRP: Which Stock Is the Better Value Option?

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Investors with an interest in Insurance - Life Insurance stocks have likely encountered both Voya Financial (VOYA - Free Report) and BRP Group . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.

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 puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.

Voya Financial has a Zacks Rank of #2 (Buy), while BRP Group has a Zacks Rank of #3 (Hold) right now. This means that VOYA's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. However, value investors will care about much more than just this.

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.

Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.

VOYA currently has a forward P/E ratio of 8.97, while BRP has a forward P/E of 21.90. We also note that VOYA has a PEG ratio of 0.64. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. BRP currently has a PEG ratio of 0.94.

Another notable valuation metric for VOYA is its P/B ratio of 1.19. 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, BRP has a P/B of 2.66.

These metrics, and several others, help VOYA earn a Value grade of B, while BRP has been given a Value grade of D.

VOYA stands above BRP thanks to its solid earnings outlook, and based on these valuation figures, we also feel that VOYA is the superior value option right now.


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