We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
CFG vs. FFIC: Which Stock Should Value Investors Buy Now?
Read MoreHide Full Article
Investors interested in stocks from the Financial - Savings and Loan sector have probably already heard of Citizens Financial Group (CFG - Free Report) and Flushing Financial (FFIC - 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, Citizens Financial Group is sporting a Zacks Rank of #2 (Buy), while Flushing Financial has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that CFG likely has seen a stronger improvement to its earnings outlook than FFIC has recently. 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.
CFG currently has a forward P/E ratio of 9.01, while FFIC has a forward P/E of 12.14. We also note that CFG has a PEG ratio of 0.58. 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. FFIC currently has a PEG ratio of 1.08.
Another notable valuation metric for CFG is its P/B ratio of 0.82. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, FFIC has a P/B of 1.15.
Based on these metrics and many more, CFG holds a Value grade of B, while FFIC has a Value grade of C.
CFG stands above FFIC thanks to its solid earnings outlook, and based on these valuation figures, we also feel that CFG is the superior value option right now.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
CFG vs. FFIC: Which Stock Should Value Investors Buy Now?
Investors interested in stocks from the Financial - Savings and Loan sector have probably already heard of Citizens Financial Group (CFG - Free Report) and Flushing Financial (FFIC - 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, Citizens Financial Group is sporting a Zacks Rank of #2 (Buy), while Flushing Financial has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that CFG likely has seen a stronger improvement to its earnings outlook than FFIC has recently. 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.
CFG currently has a forward P/E ratio of 9.01, while FFIC has a forward P/E of 12.14. We also note that CFG has a PEG ratio of 0.58. 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. FFIC currently has a PEG ratio of 1.08.
Another notable valuation metric for CFG is its P/B ratio of 0.82. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, FFIC has a P/B of 1.15.
Based on these metrics and many more, CFG holds a Value grade of B, while FFIC has a Value grade of C.
CFG stands above FFIC thanks to its solid earnings outlook, and based on these valuation figures, we also feel that CFG is the superior value option right now.