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ALOT or TIXT: Which Is the Better Value Stock Right Now?
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Investors interested in stocks from the Technology Services sector have probably already heard of AstroNova (ALOT - Free Report) and Telus International (TIXT - 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.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Right now, AstroNova is sporting a Zacks Rank of #2 (Buy), while Telus International has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that ALOT has an improving earnings outlook. However, value investors will care about much more than just this.
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 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.
ALOT currently has a forward P/E ratio of 12.91, while TIXT has a forward P/E of 36.44. We also note that ALOT has a PEG ratio of 1.08. 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. TIXT currently has a PEG ratio of 1.53.
Another notable valuation metric for ALOT is its P/B ratio of 1.36. 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, TIXT has a P/B of 5.70.
These metrics, and several others, help ALOT earn a Value grade of A, while TIXT has been given a Value grade of C.
ALOT sticks out from TIXT in both our Zacks Rank and Style Scores models, so value investors will likely feel that ALOT is the better option right now.
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ALOT or TIXT: Which Is the Better Value Stock Right Now?
Investors interested in stocks from the Technology Services sector have probably already heard of AstroNova (ALOT - Free Report) and Telus International (TIXT - 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.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Right now, AstroNova is sporting a Zacks Rank of #2 (Buy), while Telus International has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that ALOT has an improving earnings outlook. However, value investors will care about much more than just this.
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 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.
ALOT currently has a forward P/E ratio of 12.91, while TIXT has a forward P/E of 36.44. We also note that ALOT has a PEG ratio of 1.08. 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. TIXT currently has a PEG ratio of 1.53.
Another notable valuation metric for ALOT is its P/B ratio of 1.36. 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, TIXT has a P/B of 5.70.
These metrics, and several others, help ALOT earn a Value grade of A, while TIXT has been given a Value grade of C.
ALOT sticks out from TIXT in both our Zacks Rank and Style Scores models, so value investors will likely feel that ALOT is the better option right now.