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BSBR or BSAC: Which Is the Better Value Stock Right Now?
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Investors looking for stocks in the Banks - Foreign sector might want to consider either Banco Santander-Brazil (BSBR - Free Report) or Banco Santander-Chile (BSAC - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Banco Santander-Brazil has a Zacks Rank of #1 (Strong Buy), while Banco Santander-Chile has a Zacks Rank of #4 (Sell) right now. This means that BSBR's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one piece of the puzzle 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.
Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
BSBR currently has a forward P/E ratio of 12.02, while BSAC has a forward P/E of 14.41. We also note that BSBR has a PEG ratio of 0.83. 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. BSAC currently has a PEG ratio of 1.11.
Another notable valuation metric for BSBR is its P/B ratio of 1.71. 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, BSAC has a P/B of 2.67.
Based on these metrics and many more, BSBR holds a Value grade of A, while BSAC has a Value grade of D.
BSBR has seen stronger estimate revision activity and sports more attractive valuation metrics than BSAC, so it seems like value investors will conclude that BSBR is the superior option right now.
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BSBR or BSAC: Which Is the Better Value Stock Right Now?
Investors looking for stocks in the Banks - Foreign sector might want to consider either Banco Santander-Brazil (BSBR - Free Report) or Banco Santander-Chile (BSAC - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Banco Santander-Brazil has a Zacks Rank of #1 (Strong Buy), while Banco Santander-Chile has a Zacks Rank of #4 (Sell) right now. This means that BSBR's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one piece of the puzzle 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.
Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
BSBR currently has a forward P/E ratio of 12.02, while BSAC has a forward P/E of 14.41. We also note that BSBR has a PEG ratio of 0.83. 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. BSAC currently has a PEG ratio of 1.11.
Another notable valuation metric for BSBR is its P/B ratio of 1.71. 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, BSAC has a P/B of 2.67.
Based on these metrics and many more, BSBR holds a Value grade of A, while BSAC has a Value grade of D.
BSBR has seen stronger estimate revision activity and sports more attractive valuation metrics than BSAC, so it seems like value investors will conclude that BSBR is the superior option right now.