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CRAI or FC: Which Is the Better Value Stock Right Now?
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Investors interested in Consulting Services stocks are likely familiar with CRA International (CRAI - Free Report) and Franklin Covey (FC - 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Right now, CRA International is sporting a Zacks Rank of #2 (Buy), while Franklin Covey has a Zacks Rank of #3 (Hold). This means that CRAI's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. 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.
CRAI currently has a forward P/E ratio of 21.86, while FC has a forward P/E of 37.56. We also note that CRAI has a PEG ratio of 1.41. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. FC currently has a PEG ratio of 1.50.
Another notable valuation metric for CRAI is its P/B ratio of 3.46. 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, FC has a P/B of 7.01.
Based on these metrics and many more, CRAI holds a Value grade of B, while FC has a Value grade of C.
CRAI has seen stronger estimate revision activity and sports more attractive valuation metrics than FC, so it seems like value investors will conclude that CRAI is the superior option right now.
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CRAI or FC: Which Is the Better Value Stock Right Now?
Investors interested in Consulting Services stocks are likely familiar with CRA International (CRAI - Free Report) and Franklin Covey (FC - 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Right now, CRA International is sporting a Zacks Rank of #2 (Buy), while Franklin Covey has a Zacks Rank of #3 (Hold). This means that CRAI's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. 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.
CRAI currently has a forward P/E ratio of 21.86, while FC has a forward P/E of 37.56. We also note that CRAI has a PEG ratio of 1.41. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. FC currently has a PEG ratio of 1.50.
Another notable valuation metric for CRAI is its P/B ratio of 3.46. 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, FC has a P/B of 7.01.
Based on these metrics and many more, CRAI holds a Value grade of B, while FC has a Value grade of C.
CRAI has seen stronger estimate revision activity and sports more attractive valuation metrics than FC, so it seems like value investors will conclude that CRAI is the superior option right now.