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NMRK vs. RMAX: Which Stock Is the Better Value Option?
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Investors looking for stocks in the Real Estate - Operations sector might want to consider either Newmark Group (NMRK - Free Report) or RE/MAX (RMAX - 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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Newmark Group has a Zacks Rank of #2 (Buy), while RE/MAX has a Zacks Rank of #3 (Hold) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that NMRK is likely seeing its earnings outlook improve to a greater extent. But this is just one factor that value investors are interested in.
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.
NMRK currently has a forward P/E ratio of 9.53, while RMAX has a forward P/E of 24.06. We also note that NMRK has a PEG ratio of 0.63. 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. RMAX currently has a PEG ratio of 3.44.
Another notable valuation metric for NMRK is its P/B ratio of 4.24. 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, RMAX has a P/B of 19.10.
These are just a few of the metrics contributing to NMRK's Value grade of A and RMAX's Value grade of D.
NMRK is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that NMRK is likely the superior value option right now.
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NMRK vs. RMAX: Which Stock Is the Better Value Option?
Investors looking for stocks in the Real Estate - Operations sector might want to consider either Newmark Group (NMRK - Free Report) or RE/MAX (RMAX - 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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Newmark Group has a Zacks Rank of #2 (Buy), while RE/MAX has a Zacks Rank of #3 (Hold) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that NMRK is likely seeing its earnings outlook improve to a greater extent. But this is just one factor that value investors are interested in.
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.
NMRK currently has a forward P/E ratio of 9.53, while RMAX has a forward P/E of 24.06. We also note that NMRK has a PEG ratio of 0.63. 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. RMAX currently has a PEG ratio of 3.44.
Another notable valuation metric for NMRK is its P/B ratio of 4.24. 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, RMAX has a P/B of 19.10.
These are just a few of the metrics contributing to NMRK's Value grade of A and RMAX's Value grade of D.
NMRK is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that NMRK is likely the superior value option right now.