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BCOR vs. TIXT: Which Stock Should Value Investors Buy Now?
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Investors looking for stocks in the Technology Services sector might want to consider either Blucora or Telus International (TIXT - 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.
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 puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Currently, Blucora has a Zacks Rank of #2 (Buy), while Telus International 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 BCOR has an improving earnings outlook. But this is just one piece of the puzzle 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.
BCOR currently has a forward P/E ratio of 10.44, while TIXT has a forward P/E of 33.91. We also note that BCOR has a PEG ratio of 0.70. 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. TIXT currently has a PEG ratio of 1.34.
Another notable valuation metric for BCOR is its P/B ratio of 2.32. 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, TIXT has a P/B of 5.26.
These metrics, and several others, help BCOR earn a Value grade of B, while TIXT has been given a Value grade of C.
BCOR is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that BCOR is likely the superior value option right now.
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BCOR vs. TIXT: Which Stock Should Value Investors Buy Now?
Investors looking for stocks in the Technology Services sector might want to consider either Blucora or Telus International (TIXT - 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.
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 puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Currently, Blucora has a Zacks Rank of #2 (Buy), while Telus International 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 BCOR has an improving earnings outlook. But this is just one piece of the puzzle 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.
BCOR currently has a forward P/E ratio of 10.44, while TIXT has a forward P/E of 33.91. We also note that BCOR has a PEG ratio of 0.70. 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. TIXT currently has a PEG ratio of 1.34.
Another notable valuation metric for BCOR is its P/B ratio of 2.32. 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, TIXT has a P/B of 5.26.
These metrics, and several others, help BCOR earn a Value grade of B, while TIXT has been given a Value grade of C.
BCOR is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that BCOR is likely the superior value option right now.