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IVZ or OWL: Which Is the Better Value Stock Right Now?
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Investors interested in Financial - Investment Management stocks are likely familiar with Invesco (IVZ - Free Report) and Blue Owl Capital Inc. (OWL - 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.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, Invesco has a Zacks Rank of #2 (Buy), while Blue Owl Capital Inc. has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that IVZ likely has seen a stronger improvement to its earnings outlook than OWL 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.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
IVZ currently has a forward P/E ratio of 10.85, while OWL has a forward P/E of 29.85. We also note that IVZ has a PEG ratio of 1.05. 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. OWL currently has a PEG ratio of 1.56.
Another notable valuation metric for IVZ is its P/B ratio of 0.73. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, OWL has a P/B of 5.78.
Based on these metrics and many more, IVZ holds a Value grade of A, while OWL has a Value grade of F.
IVZ stands above OWL thanks to its solid earnings outlook, and based on these valuation figures, we also feel that IVZ is the superior value option right now.
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IVZ or OWL: Which Is the Better Value Stock Right Now?
Investors interested in Financial - Investment Management stocks are likely familiar with Invesco (IVZ - Free Report) and Blue Owl Capital Inc. (OWL - 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.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, Invesco has a Zacks Rank of #2 (Buy), while Blue Owl Capital Inc. has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that IVZ likely has seen a stronger improvement to its earnings outlook than OWL 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.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
IVZ currently has a forward P/E ratio of 10.85, while OWL has a forward P/E of 29.85. We also note that IVZ has a PEG ratio of 1.05. 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. OWL currently has a PEG ratio of 1.56.
Another notable valuation metric for IVZ is its P/B ratio of 0.73. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, OWL has a P/B of 5.78.
Based on these metrics and many more, IVZ holds a Value grade of A, while OWL has a Value grade of F.
IVZ stands above OWL thanks to its solid earnings outlook, and based on these valuation figures, we also feel that IVZ is the superior value option right now.