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SYNA or LSCC: Which Is the Better Value Stock Right Now?
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Investors interested in stocks from the Electronics - Semiconductors sector have probably already heard of Synaptics (SYNA - Free Report) and Lattice Semiconductor (LSCC - 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 emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Synaptics has a Zacks Rank of #2 (Buy), while Lattice Semiconductor has a Zacks Rank of #3 (Hold) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that SYNA is likely seeing its earnings outlook improve to a greater extent. However, value investors will care about much more than just this.
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.
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.
SYNA currently has a forward P/E ratio of 11.86, while LSCC has a forward P/E of 65.54. We also note that SYNA has a PEG ratio of 1.19. 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. LSCC currently has a PEG ratio of 6.55.
Another notable valuation metric for SYNA is its P/B ratio of 3.35. 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, LSCC has a P/B of 15.86.
These metrics, and several others, help SYNA earn a Value grade of B, while LSCC has been given a Value grade of F.
SYNA sticks out from LSCC in both our Zacks Rank and Style Scores models, so value investors will likely feel that SYNA is the better option right now.
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SYNA or LSCC: Which Is the Better Value Stock Right Now?
Investors interested in stocks from the Electronics - Semiconductors sector have probably already heard of Synaptics (SYNA - Free Report) and Lattice Semiconductor (LSCC - 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 emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Synaptics has a Zacks Rank of #2 (Buy), while Lattice Semiconductor has a Zacks Rank of #3 (Hold) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that SYNA is likely seeing its earnings outlook improve to a greater extent. However, value investors will care about much more than just this.
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.
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.
SYNA currently has a forward P/E ratio of 11.86, while LSCC has a forward P/E of 65.54. We also note that SYNA has a PEG ratio of 1.19. 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. LSCC currently has a PEG ratio of 6.55.
Another notable valuation metric for SYNA is its P/B ratio of 3.35. 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, LSCC has a P/B of 15.86.
These metrics, and several others, help SYNA earn a Value grade of B, while LSCC has been given a Value grade of F.
SYNA sticks out from LSCC in both our Zacks Rank and Style Scores models, so value investors will likely feel that SYNA is the better option right now.