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JCOM or CRWD: Which Is the Better Value Stock Right Now?

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Investors with an interest in Internet - Software stocks have likely encountered both j2 Global and CrowdStrike Holdings (CRWD - 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.

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 favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.

Currently, both j2 Global and CrowdStrike Holdings are holding a Zacks Rank of # 2 (Buy). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. 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.

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.

JCOM currently has a forward P/E ratio of 12.05, while CRWD has a forward P/E of 616.85. We also note that JCOM has a PEG ratio of 1.51. 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. CRWD currently has a PEG ratio of 24.67.

Another notable valuation metric for JCOM is its P/B ratio of 4.13. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, CRWD has a P/B of 64.87.

These metrics, and several others, help JCOM earn a Value grade of B, while CRWD has been given a Value grade of F.

Both JCOM and CRWD are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that JCOM is the superior value option right now.


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