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SMGZY vs. AMPL: Which Stock Is the Better Value Option?
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Investors interested in Technology Services stocks are likely familiar with Smiths Group PLC (SMGZY - Free Report) and Amplitude, Inc. (AMPL - 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.
Right now, Smiths Group PLC is sporting a Zacks Rank of #2 (Buy), while Amplitude, Inc. has a Zacks Rank of #3 (Hold). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that SMGZY 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 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 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.
SMGZY currently has a forward P/E ratio of 16.74, while AMPL has a forward P/E of 107.38. We also note that SMGZY has a PEG ratio of 1.70. 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. AMPL currently has a PEG ratio of 3.29.
Another notable valuation metric for SMGZY is its P/B ratio of 2.65. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, AMPL has a P/B of 3.61.
These are just a few of the metrics contributing to SMGZY's Value grade of B and AMPL's Value grade of F.
SMGZY stands above AMPL thanks to its solid earnings outlook, and based on these valuation figures, we also feel that SMGZY is the superior value option right now.
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SMGZY vs. AMPL: Which Stock Is the Better Value Option?
Investors interested in Technology Services stocks are likely familiar with Smiths Group PLC (SMGZY - Free Report) and Amplitude, Inc. (AMPL - 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.
Right now, Smiths Group PLC is sporting a Zacks Rank of #2 (Buy), while Amplitude, Inc. has a Zacks Rank of #3 (Hold). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that SMGZY 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 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 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.
SMGZY currently has a forward P/E ratio of 16.74, while AMPL has a forward P/E of 107.38. We also note that SMGZY has a PEG ratio of 1.70. 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. AMPL currently has a PEG ratio of 3.29.
Another notable valuation metric for SMGZY is its P/B ratio of 2.65. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, AMPL has a P/B of 3.61.
These are just a few of the metrics contributing to SMGZY's Value grade of B and AMPL's Value grade of F.
SMGZY stands above AMPL thanks to its solid earnings outlook, and based on these valuation figures, we also feel that SMGZY is the superior value option right now.