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BERY or ATR: Which Is the Better Value Stock Right Now?

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Investors interested in stocks from the Containers - Paper and Packaging sector have probably already heard of Berry Global (BERY - Free Report) and AptarGroup (ATR - 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.

Currently, Berry Global has a Zacks Rank of #2 (Buy), while AptarGroup has a Zacks Rank of #3 (Hold). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that BERY is likely seeing its earnings outlook improve to a greater extent. But this is only part of the picture for value investors.

Value investors analyze a variety of traditional, tried-and-true metrics to help find companies 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.

BERY currently has a forward P/E ratio of 11.23, while ATR has a forward P/E of 33.60. We also note that BERY has a PEG ratio of 1.12. 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. ATR currently has a PEG ratio of 4.80.

Another notable valuation metric for BERY is its P/B ratio of 3.27. 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, ATR has a P/B of 4.85.

These are just a few of the metrics contributing to BERY's Value grade of A and ATR's Value grade of C.

BERY stands above ATR thanks to its solid earnings outlook, and based on these valuation figures, we also feel that BERY is the superior value option right now.


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AptarGroup, Inc. (ATR) - free report >>

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