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CORR or VTR: Which Is the Better Value Stock Right Now?

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Investors with an interest in REIT and Equity Trust - Other stocks have likely encountered both CorEnergy and Ventas (VTR - 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.

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 is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.

CorEnergy has a Zacks Rank of #2 (Buy), while Ventas has a Zacks Rank of #3 (Hold) right now. Investors should feel comfortable knowing that CORR likely has seen a stronger improvement to its earnings outlook than VTR has recently. But this is just one piece of the puzzle 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 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.

CORR currently has a forward P/E ratio of 9.49, while VTR has a forward P/E of 14.70. We also note that CORR has a PEG ratio of 1.90. 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. VTR currently has a PEG ratio of 4.42.

Another notable valuation metric for CORR is its P/B ratio of 1.33. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, VTR has a P/B of 2.02.

Based on these metrics and many more, CORR holds a Value grade of B, while VTR has a Value grade of D.

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


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