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USNA vs. STVN: Which Stock Is the Better Value Option?
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Investors with an interest in Medical - Drugs stocks have likely encountered both USANA Health Sciences (USNA - Free Report) and Stevanato Group (STVN - 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.
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.
Right now, USANA Health Sciences is sporting a Zacks Rank of #2 (Buy), while Stevanato Group has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that USNA likely has seen a stronger improvement to its earnings outlook than STVN has recently. But this is only part of the picture for value investors.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks 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.
USNA currently has a forward P/E ratio of 11.65, while STVN has a forward P/E of 46.19. We also note that USNA has a PEG ratio of 0.97. 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. STVN currently has a PEG ratio of 2.63.
Another notable valuation metric for USNA is its P/B ratio of 1.07. 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, STVN has a P/B of 5.04.
These metrics, and several others, help USNA earn a Value grade of A, while STVN has been given a Value grade of C.
USNA stands above STVN thanks to its solid earnings outlook, and based on these valuation figures, we also feel that USNA is the superior value option right now.
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USNA vs. STVN: Which Stock Is the Better Value Option?
Investors with an interest in Medical - Drugs stocks have likely encountered both USANA Health Sciences (USNA - Free Report) and Stevanato Group (STVN - 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.
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.
Right now, USANA Health Sciences is sporting a Zacks Rank of #2 (Buy), while Stevanato Group has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that USNA likely has seen a stronger improvement to its earnings outlook than STVN has recently. But this is only part of the picture for value investors.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks 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.
USNA currently has a forward P/E ratio of 11.65, while STVN has a forward P/E of 46.19. We also note that USNA has a PEG ratio of 0.97. 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. STVN currently has a PEG ratio of 2.63.
Another notable valuation metric for USNA is its P/B ratio of 1.07. 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, STVN has a P/B of 5.04.
These metrics, and several others, help USNA earn a Value grade of A, while STVN has been given a Value grade of C.
USNA stands above STVN thanks to its solid earnings outlook, and based on these valuation figures, we also feel that USNA is the superior value option right now.