Investors interested in Oil and Gas - Production Pipeline - MLB stocks are likely familiar with Energy Transfer Partners, L.P. and Crestwood Equity Partners LP . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
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, Energy Transfer Partners, L.P. has a Zacks Rank of #2 (Buy), while Crestwood Equity Partners LP has a Zacks Rank of #5 (Strong Sell). Investors should feel comfortable knowing that ETP likely has seen a stronger improvement to its earnings outlook than CEQP has recently. 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.
ETP currently has a forward P/E ratio of 21.45, while CEQP has a forward P/E of 436.15. We also note that ETP has a PEG ratio of 1.54. 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. CEQP currently has a PEG ratio of 87.23.
Another notable valuation metric for ETP is its P/B ratio of 0.79. 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, CEQP has a P/B of 1.82.
These metrics, and several others, help ETP earn a Value grade of B, while CEQP has been given a Value grade of F.
ETP is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that ETP is likely the superior value option right now.
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ETP or CEQP: Which Is the Better Value Stock Right Now?
Investors interested in Oil and Gas - Production Pipeline - MLB stocks are likely familiar with Energy Transfer Partners, L.P. and Crestwood Equity Partners LP . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
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, Energy Transfer Partners, L.P. has a Zacks Rank of #2 (Buy), while Crestwood Equity Partners LP has a Zacks Rank of #5 (Strong Sell). Investors should feel comfortable knowing that ETP likely has seen a stronger improvement to its earnings outlook than CEQP has recently. 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.
ETP currently has a forward P/E ratio of 21.45, while CEQP has a forward P/E of 436.15. We also note that ETP has a PEG ratio of 1.54. 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. CEQP currently has a PEG ratio of 87.23.
Another notable valuation metric for ETP is its P/B ratio of 0.79. 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, CEQP has a P/B of 1.82.
These metrics, and several others, help ETP earn a Value grade of B, while CEQP has been given a Value grade of F.
ETP is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that ETP is likely the superior value option right now.