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FMS vs. SMLR: Which Stock Is the Better Value Option?
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Investors with an interest in Medical - Instruments stocks have likely encountered both Fresenius (FMS - Free Report) and Semler Scientific Inc. . 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.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. 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.
Right now, Fresenius is sporting a Zacks Rank of #2 (Buy), while Semler Scientific Inc. has a Zacks Rank of #3 (Hold). This means that FMS's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one factor that value investors are interested in.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks 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.
FMS currently has a forward P/E ratio of 16.19, while SMLR has a forward P/E of 53.80. We also note that FMS has a PEG ratio of 2.11. 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. SMLR currently has a PEG ratio of 2.15.
Another notable valuation metric for FMS is its P/B ratio of 1.69. 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, SMLR has a P/B of 19.40.
These metrics, and several others, help FMS earn a Value grade of A, while SMLR has been given a Value grade of C.
FMS stands above SMLR thanks to its solid earnings outlook, and based on these valuation figures, we also feel that FMS is the superior value option right now.
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FMS vs. SMLR: Which Stock Is the Better Value Option?
Investors with an interest in Medical - Instruments stocks have likely encountered both Fresenius (FMS - Free Report) and Semler Scientific Inc. . 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.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. 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.
Right now, Fresenius is sporting a Zacks Rank of #2 (Buy), while Semler Scientific Inc. has a Zacks Rank of #3 (Hold). This means that FMS's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one factor that value investors are interested in.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks 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.
FMS currently has a forward P/E ratio of 16.19, while SMLR has a forward P/E of 53.80. We also note that FMS has a PEG ratio of 2.11. 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. SMLR currently has a PEG ratio of 2.15.
Another notable valuation metric for FMS is its P/B ratio of 1.69. 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, SMLR has a P/B of 19.40.
These metrics, and several others, help FMS earn a Value grade of A, while SMLR has been given a Value grade of C.
FMS stands above SMLR thanks to its solid earnings outlook, and based on these valuation figures, we also feel that FMS is the superior value option right now.