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SKFRY or ESAB: Which Is the Better Value Stock Right Now?
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Investors interested in Metal Products - Procurement and Fabrication stocks are likely familiar with AB SKF (SKFRY - Free Report) and Esab (ESAB - Free Report) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to 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 favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, AB SKF has a Zacks Rank of #2 (Buy), while Esab has a Zacks Rank of #3 (Hold). This means that SKFRY's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. However, value investors will care about much more than just this.
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.
SKFRY currently has a forward P/E ratio of 12.46, while ESAB has a forward P/E of 21.43. We also note that SKFRY has a PEG ratio of 1.20. 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. ESAB currently has a PEG ratio of 1.80.
Another notable valuation metric for SKFRY is its P/B ratio of 1.63. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, ESAB has a P/B of 3.59.
These are just a few of the metrics contributing to SKFRY's Value grade of A and ESAB's Value grade of C.
SKFRY sticks out from ESAB in both our Zacks Rank and Style Scores models, so value investors will likely feel that SKFRY is the better option right now.
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SKFRY or ESAB: Which Is the Better Value Stock Right Now?
Investors interested in Metal Products - Procurement and Fabrication stocks are likely familiar with AB SKF (SKFRY - Free Report) and Esab (ESAB - Free Report) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to 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 favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, AB SKF has a Zacks Rank of #2 (Buy), while Esab has a Zacks Rank of #3 (Hold). This means that SKFRY's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. However, value investors will care about much more than just this.
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.
SKFRY currently has a forward P/E ratio of 12.46, while ESAB has a forward P/E of 21.43. We also note that SKFRY has a PEG ratio of 1.20. 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. ESAB currently has a PEG ratio of 1.80.
Another notable valuation metric for SKFRY is its P/B ratio of 1.63. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, ESAB has a P/B of 3.59.
These are just a few of the metrics contributing to SKFRY's Value grade of A and ESAB's Value grade of C.
SKFRY sticks out from ESAB in both our Zacks Rank and Style Scores models, so value investors will likely feel that SKFRY is the better option right now.