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PAHC or SYK: Which Is the Better Value Stock Right Now?
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Investors interested in Medical - Products stocks are likely familiar with Phibro Animal Health (PAHC - Free Report) and Stryker (SYK - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's 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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Phibro Animal Health has a Zacks Rank of #2 (Buy), while Stryker has a Zacks Rank of #3 (Hold) right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that PAHC has an improving earnings outlook. However, value investors will care about much more than just this.
Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether 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.
PAHC currently has a forward P/E ratio of 12.81, while SYK has a forward P/E of 26.27. We also note that PAHC has a PEG ratio of 0.53. 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. SYK currently has a PEG ratio of 2.44.
Another notable valuation metric for PAHC is its P/B ratio of 3.24. 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, SYK has a P/B of 6.72.
These are just a few of the metrics contributing to PAHC's Value grade of A and SYK's Value grade of C.
PAHC stands above SYK thanks to its solid earnings outlook, and based on these valuation figures, we also feel that PAHC is the superior value option right now.
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PAHC or SYK: Which Is the Better Value Stock Right Now?
Investors interested in Medical - Products stocks are likely familiar with Phibro Animal Health (PAHC - Free Report) and Stryker (SYK - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's 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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Phibro Animal Health has a Zacks Rank of #2 (Buy), while Stryker has a Zacks Rank of #3 (Hold) right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that PAHC has an improving earnings outlook. However, value investors will care about much more than just this.
Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether 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.
PAHC currently has a forward P/E ratio of 12.81, while SYK has a forward P/E of 26.27. We also note that PAHC has a PEG ratio of 0.53. 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. SYK currently has a PEG ratio of 2.44.
Another notable valuation metric for PAHC is its P/B ratio of 3.24. 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, SYK has a P/B of 6.72.
These are just a few of the metrics contributing to PAHC's Value grade of A and SYK's Value grade of C.
PAHC stands above SYK thanks to its solid earnings outlook, and based on these valuation figures, we also feel that PAHC is the superior value option right now.