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GLNCY or LYSDY: Which Is the Better Value Stock Right Now?
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Investors interested in stocks from the Mining - Miscellaneous sector have probably already heard of Glencore PLC (GLNCY - Free Report) and Lynas Corp. (LYSDY - 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.
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.
Currently, Glencore PLC has a Zacks Rank of #2 (Buy), while Lynas Corp. has a Zacks Rank of #3 (Hold). This means that GLNCY'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 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.
GLNCY currently has a forward P/E ratio of 11.14, while LYSDY has a forward P/E of 23.64. We also note that GLNCY has a PEG ratio of 2.77. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. LYSDY currently has a PEG ratio of 5.06.
Another notable valuation metric for GLNCY is its P/B ratio of 1.70. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, LYSDY has a P/B of 2.57.
These metrics, and several others, help GLNCY earn a Value grade of A, while LYSDY has been given a Value grade of D.
GLNCY has seen stronger estimate revision activity and sports more attractive valuation metrics than LYSDY, so it seems like value investors will conclude that GLNCY is the superior option right now.
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GLNCY or LYSDY: Which Is the Better Value Stock Right Now?
Investors interested in stocks from the Mining - Miscellaneous sector have probably already heard of Glencore PLC (GLNCY - Free Report) and Lynas Corp. (LYSDY - 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.
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.
Currently, Glencore PLC has a Zacks Rank of #2 (Buy), while Lynas Corp. has a Zacks Rank of #3 (Hold). This means that GLNCY'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 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.
GLNCY currently has a forward P/E ratio of 11.14, while LYSDY has a forward P/E of 23.64. We also note that GLNCY has a PEG ratio of 2.77. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. LYSDY currently has a PEG ratio of 5.06.
Another notable valuation metric for GLNCY is its P/B ratio of 1.70. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, LYSDY has a P/B of 2.57.
These metrics, and several others, help GLNCY earn a Value grade of A, while LYSDY has been given a Value grade of D.
GLNCY has seen stronger estimate revision activity and sports more attractive valuation metrics than LYSDY, so it seems like value investors will conclude that GLNCY is the superior option right now.