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PBYI or TECH: Which Is the Better Value Stock Right Now?
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Investors interested in Medical - Biomedical and Genetics stocks are likely familiar with Puma Biotech (PBYI - Free Report) and Techne (TECH - Free Report) . 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.
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 favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Puma Biotech has a Zacks Rank of #1 (Strong Buy), while Techne has a Zacks Rank of #3 (Hold) right now. This means that PBYI's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one piece of the puzzle for value investors.
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.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
PBYI currently has a forward P/E ratio of 5.18, while TECH has a forward P/E of 34.58. We also note that PBYI has a PEG ratio of 0.85. 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. TECH currently has a PEG ratio of 4.77.
Another notable valuation metric for PBYI is its P/B ratio of 4.58. 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, TECH has a P/B of 5.10.
Based on these metrics and many more, PBYI holds a Value grade of A, while TECH has a Value grade of D.
PBYI has seen stronger estimate revision activity and sports more attractive valuation metrics than TECH, so it seems like value investors will conclude that PBYI is the superior option right now.
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PBYI or TECH: Which Is the Better Value Stock Right Now?
Investors interested in Medical - Biomedical and Genetics stocks are likely familiar with Puma Biotech (PBYI - Free Report) and Techne (TECH - Free Report) . 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.
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 favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Puma Biotech has a Zacks Rank of #1 (Strong Buy), while Techne has a Zacks Rank of #3 (Hold) right now. This means that PBYI's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one piece of the puzzle for value investors.
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.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
PBYI currently has a forward P/E ratio of 5.18, while TECH has a forward P/E of 34.58. We also note that PBYI has a PEG ratio of 0.85. 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. TECH currently has a PEG ratio of 4.77.
Another notable valuation metric for PBYI is its P/B ratio of 4.58. 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, TECH has a P/B of 5.10.
Based on these metrics and many more, PBYI holds a Value grade of A, while TECH has a Value grade of D.
PBYI has seen stronger estimate revision activity and sports more attractive valuation metrics than TECH, so it seems like value investors will conclude that PBYI is the superior option right now.