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.
MCS vs. MTN: Which Stock Should Value Investors Buy Now?
Read MoreHide Full Article
Investors looking for stocks in the Leisure and Recreation Services sector might want to consider either Marcus (MCS - Free Report) or Vail Resorts (MTN - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Marcus has a Zacks Rank of #1 (Strong Buy), while Vail Resorts has a Zacks Rank of #3 (Hold) right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that MCS has an improving earnings outlook. But this is just one factor that value investors are interested in.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their 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.
MCS currently has a forward P/E ratio of 22.28, while MTN has a forward P/E of 31. We also note that MCS has a PEG ratio of 1.49. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. MTN currently has a PEG ratio of 2.07.
Another notable valuation metric for MCS is its P/B ratio of 2.24. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, MTN has a P/B of 5.16.
Based on these metrics and many more, MCS holds a Value grade of B, while MTN has a Value grade of C.
MCS has seen stronger estimate revision activity and sports more attractive valuation metrics than MTN, so it seems like value investors will conclude that MCS is the superior option right now.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
MCS vs. MTN: Which Stock Should Value Investors Buy Now?
Investors looking for stocks in the Leisure and Recreation Services sector might want to consider either Marcus (MCS - Free Report) or Vail Resorts (MTN - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Marcus has a Zacks Rank of #1 (Strong Buy), while Vail Resorts has a Zacks Rank of #3 (Hold) right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that MCS has an improving earnings outlook. But this is just one factor that value investors are interested in.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their 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.
MCS currently has a forward P/E ratio of 22.28, while MTN has a forward P/E of 31. We also note that MCS has a PEG ratio of 1.49. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. MTN currently has a PEG ratio of 2.07.
Another notable valuation metric for MCS is its P/B ratio of 2.24. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, MTN has a P/B of 5.16.
Based on these metrics and many more, MCS holds a Value grade of B, while MTN has a Value grade of C.
MCS has seen stronger estimate revision activity and sports more attractive valuation metrics than MTN, so it seems like value investors will conclude that MCS is the superior option right now.