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DSDVY vs. PAC: Which Stock Should Value Investors Buy Now?

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Investors looking for stocks in the Transportation - Services sector might want to consider either DSV (DSDVY - Free Report) or Grupo Aeroportuario del Pacifico (PAC - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.

Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.

Currently, DSV has a Zacks Rank of #2 (Buy), while Grupo Aeroportuario del Pacifico has a Zacks Rank of #3 (Hold). This means that DSDVY's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is only part of the picture for value investors.

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.

Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.

DSDVY currently has a forward P/E ratio of 15.72, while PAC has a forward P/E of 21.61. We also note that DSDVY has a PEG ratio of 1.76. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. PAC currently has a PEG ratio of 1.97.

Another notable valuation metric for DSDVY is its P/B ratio of 3.43. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, PAC has a P/B of 9.47.

These are just a few of the metrics contributing to DSDVY's Value grade of B and PAC's Value grade of C.

DSDVY has seen stronger estimate revision activity and sports more attractive valuation metrics than PAC, so it seems like value investors will conclude that DSDVY is the superior option right now.


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Grupo Aeroportuario Del Pacifico, S.A. de C.V. (PAC) - free report >>

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