Investors looking for stocks in the Industrial Services sector might want to consider either Hudson Technologies (HDSN - Free Report) or Ashtead Group PLC (ASHTY - 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.
Right now, both Hudson Technologies and Ashtead Group PLC are sporting a Zacks Rank of # 1 (Strong Buy). This means that both companies have witnessed positive earnings estimate revisions, so investors should feel comfortable knowing that both of these stocks have an improving earnings outlook. But this is just one piece of the puzzle 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.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
HDSN currently has a forward P/E ratio of 5.44, while ASHTY has a forward P/E of 16.93. We also note that HDSN has a PEG ratio of 0.18. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. ASHTY currently has a PEG ratio of 0.88.
Another notable valuation metric for HDSN is its P/B ratio of 3.10. 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, ASHTY has a P/B of 5.18.
These metrics, and several others, help HDSN earn a Value grade of A, while ASHTY has been given a Value grade of C.
Both HDSN and ASHTY are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that HDSN is the superior value option right now.
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Investors looking for stocks in the Industrial Services sector might want to consider either Hudson Technologies (HDSN - Free Report) or Ashtead Group PLC (ASHTY - 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.
Right now, both Hudson Technologies and Ashtead Group PLC are sporting a Zacks Rank of # 1 (Strong Buy). This means that both companies have witnessed positive earnings estimate revisions, so investors should feel comfortable knowing that both of these stocks have an improving earnings outlook. But this is just one piece of the puzzle 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.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
HDSN currently has a forward P/E ratio of 5.44, while ASHTY has a forward P/E of 16.93. We also note that HDSN has a PEG ratio of 0.18. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. ASHTY currently has a PEG ratio of 0.88.
Another notable valuation metric for HDSN is its P/B ratio of 3.10. 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, ASHTY has a P/B of 5.18.
These metrics, and several others, help HDSN earn a Value grade of A, while ASHTY has been given a Value grade of C.
Both HDSN and ASHTY are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that HDSN is the superior value option right now.
Just Released: Zacks Top 10 Stocks for 2024
Hurry – you can still get in early on our 10 top tickers for 2024. Hand-picked by Zacks Director of Research, Sheraz Mian, this portfolio has been stunningly and consistently successful. From inception in 2012 through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Sheraz has combed through 4,400 companies covered by the Zacks Rank and handpicked the best 10 to buy and hold in 2024. You can still be among the first to see these just-released stocks with enormous potential.
See New Top 10 Stocks >>
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