We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
SNE or GPRO: Which Is the Better Value Stock Right Now?
Read MoreHide Full Article
Investors with an interest in Audio Video Production stocks have likely encountered both Sony and GoPro (GPRO - 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.
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 puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Currently, Sony has a Zacks Rank of #2 (Buy), while GoPro has a Zacks Rank of #3 (Hold). This means that SNE'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 are also interested in a number of tried-and-true valuation metrics that help show when 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.
SNE currently has a forward P/E ratio of 8.37, while GPRO has a forward P/E of 23.48. We also note that SNE has a PEG ratio of 1.03. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. GPRO currently has a PEG ratio of 2.35.
Another notable valuation metric for SNE is its P/B ratio of 1.48. 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, GPRO has a P/B of 4.25.
These metrics, and several others, help SNE earn a Value grade of A, while GPRO has been given a Value grade of F.
SNE sticks out from GPRO in both our Zacks Rank and Style Scores models, so value investors will likely feel that SNE is the better option right now.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
SNE or GPRO: Which Is the Better Value Stock Right Now?
Investors with an interest in Audio Video Production stocks have likely encountered both Sony and GoPro (GPRO - 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.
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 puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Currently, Sony has a Zacks Rank of #2 (Buy), while GoPro has a Zacks Rank of #3 (Hold). This means that SNE'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 are also interested in a number of tried-and-true valuation metrics that help show when 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.
SNE currently has a forward P/E ratio of 8.37, while GPRO has a forward P/E of 23.48. We also note that SNE has a PEG ratio of 1.03. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. GPRO currently has a PEG ratio of 2.35.
Another notable valuation metric for SNE is its P/B ratio of 1.48. 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, GPRO has a P/B of 4.25.
These metrics, and several others, help SNE earn a Value grade of A, while GPRO has been given a Value grade of F.
SNE sticks out from GPRO in both our Zacks Rank and Style Scores models, so value investors will likely feel that SNE is the better option right now.