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BERY vs. ATR: Which Stock Is the Better Value Option?

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Investors looking for stocks in the Containers - Paper and Packaging sector might want to consider either Berry Global (BERY - Free Report) or AptarGroup (ATR - 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 proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.

Berry Global and AptarGroup are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that BERY has an improving earnings 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 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.

BERY currently has a forward P/E ratio of 12.11, while ATR has a forward P/E of 34.74. We also note that BERY has a PEG ratio of 1.21. 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. ATR currently has a PEG ratio of 4.96.

Another notable valuation metric for BERY is its P/B ratio of 3.82. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, ATR has a P/B of 4.57.

These are just a few of the metrics contributing to BERY's Value grade of A and ATR's Value grade of C.

BERY sticks out from ATR in both our Zacks Rank and Style Scores models, so value investors will likely feel that BERY is the better option right now.


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AptarGroup, Inc. (ATR) - free report >>

Berry Global Group, Inc. (BERY) - free report >>

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