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LOGM vs. MANT: Which Stock Is the Better Value Option?

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Investors looking for stocks in the Computer - Services sector might want to consider either LogMein or ManTech International . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.

We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.

Right now, both LogMein and ManTech International are sporting a Zacks Rank of # 2 (Buy). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. 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.

LOGM currently has a forward P/E ratio of 13.58, while MANT has a forward P/E of 32.34. We also note that LOGM has a PEG ratio of 2.72. 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. MANT currently has a PEG ratio of 4.04.

Another notable valuation metric for LOGM is its P/B ratio of 1.25. 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, MANT has a P/B of 2.12.

These metrics, and several others, help LOGM earn a Value grade of B, while MANT has been given a Value grade of C.

Both LOGM and MANT are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that LOGM is the superior value option right now.

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