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BLWYY vs. ROAD: Which Stock Should Value Investors Buy Now?
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Investors interested in stocks from the Building Products - Miscellaneous sector have probably already heard of BELLWAY (BLWYY - Free Report) and Construction Partners (ROAD - 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 favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
BELLWAY and Construction Partners are sporting Zacks Ranks of #2 (Buy) and #4 (Sell), respectively, right now. Investors should feel comfortable knowing that BLWYY likely has seen a stronger improvement to its earnings outlook than ROAD has recently. But this is just one piece of the puzzle 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.
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.
BLWYY currently has a forward P/E ratio of 7.27, while ROAD has a forward P/E of 19.28. We also note that BLWYY has a PEG ratio of 7.27. 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. ROAD currently has a PEG ratio of 8.07.
Another notable valuation metric for BLWYY is its P/B ratio of 1.36. 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, ROAD has a P/B of 2.63.
Based on these metrics and many more, BLWYY holds a Value grade of A, while ROAD has a Value grade of C.
BLWYY sticks out from ROAD in both our Zacks Rank and Style Scores models, so value investors will likely feel that BLWYY is the better option right now.
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BLWYY vs. ROAD: Which Stock Should Value Investors Buy Now?
Investors interested in stocks from the Building Products - Miscellaneous sector have probably already heard of BELLWAY (BLWYY - Free Report) and Construction Partners (ROAD - 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 favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
BELLWAY and Construction Partners are sporting Zacks Ranks of #2 (Buy) and #4 (Sell), respectively, right now. Investors should feel comfortable knowing that BLWYY likely has seen a stronger improvement to its earnings outlook than ROAD has recently. But this is just one piece of the puzzle 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.
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.
BLWYY currently has a forward P/E ratio of 7.27, while ROAD has a forward P/E of 19.28. We also note that BLWYY has a PEG ratio of 7.27. 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. ROAD currently has a PEG ratio of 8.07.
Another notable valuation metric for BLWYY is its P/B ratio of 1.36. 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, ROAD has a P/B of 2.63.
Based on these metrics and many more, BLWYY holds a Value grade of A, while ROAD has a Value grade of C.
BLWYY sticks out from ROAD in both our Zacks Rank and Style Scores models, so value investors will likely feel that BLWYY is the better option right now.