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BIG or TJX: Which Is the Better Value Stock Right Now?
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Investors interested in Retail - Discount Stores stocks are likely familiar with Big Lots (BIG - Free Report) and TJX (TJX - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's 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 proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Currently, Big Lots has a Zacks Rank of #2 (Buy), while TJX has a Zacks Rank of #5 (Strong Sell). Investors should feel comfortable knowing that BIG likely has seen a stronger improvement to its earnings outlook than TJX has recently. But this is only part of the picture 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.
BIG currently has a forward P/E ratio of 6.51, while TJX has a forward P/E of 292.81. We also note that BIG has a PEG ratio of 1.44. 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. TJX currently has a PEG ratio of 27.89.
Another notable valuation metric for BIG is its P/B ratio of 1.48. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, TJX has a P/B of 13.31.
These are just a few of the metrics contributing to BIG's Value grade of A and TJX's Value grade of C.
BIG sticks out from TJX in both our Zacks Rank and Style Scores models, so value investors will likely feel that BIG is the better option right now.
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BIG or TJX: Which Is the Better Value Stock Right Now?
Investors interested in Retail - Discount Stores stocks are likely familiar with Big Lots (BIG - Free Report) and TJX (TJX - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's 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 proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Currently, Big Lots has a Zacks Rank of #2 (Buy), while TJX has a Zacks Rank of #5 (Strong Sell). Investors should feel comfortable knowing that BIG likely has seen a stronger improvement to its earnings outlook than TJX has recently. But this is only part of the picture 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.
BIG currently has a forward P/E ratio of 6.51, while TJX has a forward P/E of 292.81. We also note that BIG has a PEG ratio of 1.44. 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. TJX currently has a PEG ratio of 27.89.
Another notable valuation metric for BIG is its P/B ratio of 1.48. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, TJX has a P/B of 13.31.
These are just a few of the metrics contributing to BIG's Value grade of A and TJX's Value grade of C.
BIG sticks out from TJX in both our Zacks Rank and Style Scores models, so value investors will likely feel that BIG is the better option right now.