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BTG vs. FNV: Which Stock Should Value Investors Buy Now?
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Investors interested in Mining - Gold stocks are likely familiar with B2Gold (BTG - Free Report) and Franco-Nevada (FNV - 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 puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Both B2Gold and Franco-Nevada have a Zacks Rank of # 2 (Buy) right now. 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 only part of the picture 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.
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.
BTG currently has a forward P/E ratio of 10.66, while FNV has a forward P/E of 58.65. We also note that BTG has a PEG ratio of 1.56. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. FNV currently has a PEG ratio of 14.66.
Another notable valuation metric for BTG is its P/B ratio of 2.34. 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, FNV has a P/B of 4.64.
These are just a few of the metrics contributing to BTG's Value grade of B and FNV's Value grade of F.
Both BTG and FNV are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that BTG is the superior value option right now.
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BTG vs. FNV: Which Stock Should Value Investors Buy Now?
Investors interested in Mining - Gold stocks are likely familiar with B2Gold (BTG - Free Report) and Franco-Nevada (FNV - 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 puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Both B2Gold and Franco-Nevada have a Zacks Rank of # 2 (Buy) right now. 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 only part of the picture 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.
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.
BTG currently has a forward P/E ratio of 10.66, while FNV has a forward P/E of 58.65. We also note that BTG has a PEG ratio of 1.56. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. FNV currently has a PEG ratio of 14.66.
Another notable valuation metric for BTG is its P/B ratio of 2.34. 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, FNV has a P/B of 4.64.
These are just a few of the metrics contributing to BTG's Value grade of B and FNV's Value grade of F.
Both BTG and FNV are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that BTG is the superior value option right now.