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CPSI vs. OMCL: Which Stock Should Value Investors Buy Now?
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Investors interested in Medical Info Systems stocks are likely familiar with Computer Programs and Systems and Omnicell (OMCL - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? 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 emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, Computer Programs and Systems is sporting a Zacks Rank of #1 (Strong Buy), while Omnicell has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that CPSI has an improving earnings outlook. But this is just one factor that value investors are interested in.
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.
CPSI currently has a forward P/E ratio of 12.58, while OMCL has a forward P/E of 42.54. We also note that CPSI has a PEG ratio of 0.90. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. OMCL currently has a PEG ratio of 3.55.
Another notable valuation metric for CPSI is its P/B ratio of 2.34. 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, OMCL has a P/B of 6.47.
These are just a few of the metrics contributing to CPSI's Value grade of B and OMCL's Value grade of C.
CPSI sticks out from OMCL in both our Zacks Rank and Style Scores models, so value investors will likely feel that CPSI is the better option right now.
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CPSI vs. OMCL: Which Stock Should Value Investors Buy Now?
Investors interested in Medical Info Systems stocks are likely familiar with Computer Programs and Systems and Omnicell (OMCL - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? 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 emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, Computer Programs and Systems is sporting a Zacks Rank of #1 (Strong Buy), while Omnicell has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that CPSI has an improving earnings outlook. But this is just one factor that value investors are interested in.
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.
CPSI currently has a forward P/E ratio of 12.58, while OMCL has a forward P/E of 42.54. We also note that CPSI has a PEG ratio of 0.90. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. OMCL currently has a PEG ratio of 3.55.
Another notable valuation metric for CPSI is its P/B ratio of 2.34. 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, OMCL has a P/B of 6.47.
These are just a few of the metrics contributing to CPSI's Value grade of B and OMCL's Value grade of C.
CPSI sticks out from OMCL in both our Zacks Rank and Style Scores models, so value investors will likely feel that CPSI is the better option right now.