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HOLX vs. SONVY: Which Stock Is the Better Value Option?
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Investors looking for stocks in the Medical - Instruments sector might want to consider either Hologic (HOLX - Free Report) or SONOVA HOLDING (SONVY - 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, Hologic has a Zacks Rank of #2 (Buy), while SONOVA HOLDING has a Zacks Rank of #5 (Strong Sell). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that HOLX has an improving earnings outlook. However, value investors will care about much more than just this.
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.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
HOLX currently has a forward P/E ratio of 18.70, while SONVY has a forward P/E of 22.48. We also note that HOLX has a PEG ratio of 2.54. 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. SONVY currently has a PEG ratio of 3.56.
Another notable valuation metric for HOLX is its P/B ratio of 3.67. 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, SONVY has a P/B of 7.45.
These are just a few of the metrics contributing to HOLX's Value grade of B and SONVY's Value grade of D.
HOLX stands above SONVY thanks to its solid earnings outlook, and based on these valuation figures, we also feel that HOLX is the superior value option right now.
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HOLX vs. SONVY: Which Stock Is the Better Value Option?
Investors looking for stocks in the Medical - Instruments sector might want to consider either Hologic (HOLX - Free Report) or SONOVA HOLDING (SONVY - 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, Hologic has a Zacks Rank of #2 (Buy), while SONOVA HOLDING has a Zacks Rank of #5 (Strong Sell). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that HOLX has an improving earnings outlook. However, value investors will care about much more than just this.
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.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
HOLX currently has a forward P/E ratio of 18.70, while SONVY has a forward P/E of 22.48. We also note that HOLX has a PEG ratio of 2.54. 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. SONVY currently has a PEG ratio of 3.56.
Another notable valuation metric for HOLX is its P/B ratio of 3.67. 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, SONVY has a P/B of 7.45.
These are just a few of the metrics contributing to HOLX's Value grade of B and SONVY's Value grade of D.
HOLX stands above SONVY thanks to its solid earnings outlook, and based on these valuation figures, we also feel that HOLX is the superior value option right now.