Investors interested in stocks from the Alternative Energy - Other sector have probably already heard of HF Sinclair (DINO - Free Report) and Clearway Energy (CWEN - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Right now, HF Sinclair is sporting a Zacks Rank of #1 (Strong Buy), while Clearway Energy has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that DINO likely has seen a stronger improvement to its earnings outlook than CWEN has recently. However, value investors will care about much more than just this.
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.
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.
DINO currently has a forward P/E ratio of 4.02, while CWEN has a forward P/E of 43.13. We also note that DINO has a PEG ratio of 0.38. 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. CWEN currently has a PEG ratio of 2.47.
Another notable valuation metric for DINO is its P/B ratio of 1.21. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, CWEN has a P/B of 1.81.
These metrics, and several others, help DINO earn a Value grade of A, while CWEN has been given a Value grade of C.
DINO has seen stronger estimate revision activity and sports more attractive valuation metrics than CWEN, so it seems like value investors will conclude that DINO is the superior option right now.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Investors interested in stocks from the Alternative Energy - Other sector have probably already heard of HF Sinclair (DINO - Free Report) and Clearway Energy (CWEN - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Right now, HF Sinclair is sporting a Zacks Rank of #1 (Strong Buy), while Clearway Energy has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that DINO likely has seen a stronger improvement to its earnings outlook than CWEN has recently. However, value investors will care about much more than just this.
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.
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.
DINO currently has a forward P/E ratio of 4.02, while CWEN has a forward P/E of 43.13. We also note that DINO has a PEG ratio of 0.38. 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. CWEN currently has a PEG ratio of 2.47.
Another notable valuation metric for DINO is its P/B ratio of 1.21. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, CWEN has a P/B of 1.81.
These metrics, and several others, help DINO earn a Value grade of A, while CWEN has been given a Value grade of C.
DINO has seen stronger estimate revision activity and sports more attractive valuation metrics than CWEN, so it seems like value investors will conclude that DINO is the superior option right now.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
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