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DKILY or HOCPY: Which Is the Better Value Stock Right Now?
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Investors looking for stocks in the Electronics - Miscellaneous Products sector might want to consider either Daikin Industries (DKILY - Free Report) or Hoya Corp. (HOCPY - 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 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.
Currently, both Daikin Industries and Hoya Corp. are holding a Zacks Rank of # 2 (Buy). This means that both companies have witnessed positive earnings estimate revisions, so investors should feel comfortable knowing that both of these stocks have an improving earnings outlook. But this is only part of the picture for value investors.
Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its current share price levels.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
DKILY currently has a forward P/E ratio of 22.16, while HOCPY has a forward P/E of 40.73. We also note that DKILY has a PEG ratio of 2.14. 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. HOCPY currently has a PEG ratio of 2.88.
Another notable valuation metric for DKILY is its P/B ratio of 2.18. 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, HOCPY has a P/B of 7.76.
These are just a few of the metrics contributing to DKILY's Value grade of B and HOCPY's Value grade of D.
Both DKILY and HOCPY are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that DKILY is the superior value option right now.
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DKILY or HOCPY: Which Is the Better Value Stock Right Now?
Investors looking for stocks in the Electronics - Miscellaneous Products sector might want to consider either Daikin Industries (DKILY - Free Report) or Hoya Corp. (HOCPY - 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 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.
Currently, both Daikin Industries and Hoya Corp. are holding a Zacks Rank of # 2 (Buy). This means that both companies have witnessed positive earnings estimate revisions, so investors should feel comfortable knowing that both of these stocks have an improving earnings outlook. But this is only part of the picture for value investors.
Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its current share price levels.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
DKILY currently has a forward P/E ratio of 22.16, while HOCPY has a forward P/E of 40.73. We also note that DKILY has a PEG ratio of 2.14. 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. HOCPY currently has a PEG ratio of 2.88.
Another notable valuation metric for DKILY is its P/B ratio of 2.18. 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, HOCPY has a P/B of 7.76.
These are just a few of the metrics contributing to DKILY's Value grade of B and HOCPY's Value grade of D.
Both DKILY and HOCPY are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that DKILY is the superior value option right now.