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ZWS vs. SBGSY: Which Stock Is the Better Value Option?
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Investors interested in Manufacturing - Electronics stocks are likely familiar with Zurn Water (ZWS - Free Report) and Schneider Electric SE (SBGSY - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? 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.
Right now, Zurn Water is sporting a Zacks Rank of #2 (Buy), while Schneider Electric SE has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that ZWS has an improving earnings 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.
ZWS currently has a forward P/E ratio of 25.67, while SBGSY has a forward P/E of 27.01. We also note that ZWS has a PEG ratio of 1.68. 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. SBGSY currently has a PEG ratio of 2.35.
Another notable valuation metric for ZWS is its P/B ratio of 3.33. 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, SBGSY has a P/B of 5.
Based on these metrics and many more, ZWS holds a Value grade of B, while SBGSY has a Value grade of D.
ZWS stands above SBGSY thanks to its solid earnings outlook, and based on these valuation figures, we also feel that ZWS is the superior value option right now.
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ZWS vs. SBGSY: Which Stock Is the Better Value Option?
Investors interested in Manufacturing - Electronics stocks are likely familiar with Zurn Water (ZWS - Free Report) and Schneider Electric SE (SBGSY - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? 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.
Right now, Zurn Water is sporting a Zacks Rank of #2 (Buy), while Schneider Electric SE has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that ZWS has an improving earnings 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.
ZWS currently has a forward P/E ratio of 25.67, while SBGSY has a forward P/E of 27.01. We also note that ZWS has a PEG ratio of 1.68. 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. SBGSY currently has a PEG ratio of 2.35.
Another notable valuation metric for ZWS is its P/B ratio of 3.33. 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, SBGSY has a P/B of 5.
Based on these metrics and many more, ZWS holds a Value grade of B, while SBGSY has a Value grade of D.
ZWS stands above SBGSY thanks to its solid earnings outlook, and based on these valuation figures, we also feel that ZWS is the superior value option right now.