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PERI vs. RELX: Which Stock Is the Better Value Option?
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Investors interested in stocks from the Internet - Content sector have probably already heard of Perion Network (PERI - Free Report) and RELX PLC (RELX - 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.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Perion Network and RELX PLC are sporting Zacks Ranks of #1 (Strong Buy) and #3 (Hold), respectively, right now. Investors should feel comfortable knowing that PERI likely has seen a stronger improvement to its earnings outlook than RELX has recently. But this is only part of the picture for value investors.
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.
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.
PERI currently has a forward P/E ratio of 11.59, while RELX has a forward P/E of 24.41. We also note that PERI has a PEG ratio of 0.46. 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. RELX currently has a PEG ratio of 1.81.
Another notable valuation metric for PERI is its P/B ratio of 2.10. 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, RELX has a P/B of 11.91.
Based on these metrics and many more, PERI holds a Value grade of B, while RELX has a Value grade of C.
PERI has seen stronger estimate revision activity and sports more attractive valuation metrics than RELX, so it seems like value investors will conclude that PERI is the superior option right now.
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PERI vs. RELX: Which Stock Is the Better Value Option?
Investors interested in stocks from the Internet - Content sector have probably already heard of Perion Network (PERI - Free Report) and RELX PLC (RELX - 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.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Perion Network and RELX PLC are sporting Zacks Ranks of #1 (Strong Buy) and #3 (Hold), respectively, right now. Investors should feel comfortable knowing that PERI likely has seen a stronger improvement to its earnings outlook than RELX has recently. But this is only part of the picture for value investors.
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.
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.
PERI currently has a forward P/E ratio of 11.59, while RELX has a forward P/E of 24.41. We also note that PERI has a PEG ratio of 0.46. 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. RELX currently has a PEG ratio of 1.81.
Another notable valuation metric for PERI is its P/B ratio of 2.10. 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, RELX has a P/B of 11.91.
Based on these metrics and many more, PERI holds a Value grade of B, while RELX has a Value grade of C.
PERI has seen stronger estimate revision activity and sports more attractive valuation metrics than RELX, so it seems like value investors will conclude that PERI is the superior option right now.