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PSFE vs. DLO: Which Stock Is the Better Value Option?
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Investors looking for stocks in the Financial Transaction Services sector might want to consider either Paysafe Limited (PSFE - Free Report) or DLocal (DLO - 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 Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Paysafe Limited and DLocal are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that PSFE is likely seeing its earnings outlook improve to a greater extent. But this is just one piece of the puzzle for value investors.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks 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.
PSFE currently has a forward P/E ratio of 5.05, while DLO has a forward P/E of 32.53. We also note that PSFE has a PEG ratio of 0.48. 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. DLO currently has a PEG ratio of 1.02.
Another notable valuation metric for PSFE is its P/B ratio of 0.83. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, DLO has a P/B of 14.37.
Based on these metrics and many more, PSFE holds a Value grade of B, while DLO has a Value grade of D.
PSFE sticks out from DLO in both our Zacks Rank and Style Scores models, so value investors will likely feel that PSFE is the better option right now.
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PSFE vs. DLO: Which Stock Is the Better Value Option?
Investors looking for stocks in the Financial Transaction Services sector might want to consider either Paysafe Limited (PSFE - Free Report) or DLocal (DLO - 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 Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Paysafe Limited and DLocal are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that PSFE is likely seeing its earnings outlook improve to a greater extent. But this is just one piece of the puzzle for value investors.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks 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.
PSFE currently has a forward P/E ratio of 5.05, while DLO has a forward P/E of 32.53. We also note that PSFE has a PEG ratio of 0.48. 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. DLO currently has a PEG ratio of 1.02.
Another notable valuation metric for PSFE is its P/B ratio of 0.83. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, DLO has a P/B of 14.37.
Based on these metrics and many more, PSFE holds a Value grade of B, while DLO has a Value grade of D.
PSFE sticks out from DLO in both our Zacks Rank and Style Scores models, so value investors will likely feel that PSFE is the better option right now.