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TSCDY vs. WMT: Which Stock Is the Better Value Option?
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Investors looking for stocks in the Retail - Supermarkets sector might want to consider either Tesco PLC (TSCDY - Free Report) or Walmart (WMT - 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.
Tesco PLC and Walmart are both sporting a Zacks Rank of # 1 (Strong Buy) right now. This means that both companies have witnessed positive earnings estimate revisions, so investors should feel comfortable knowing that both of these stocks have an improving earnings outlook. But this is just one piece of the puzzle for value investors.
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.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
TSCDY currently has a forward P/E ratio of 13.25, while WMT has a forward P/E of 22.05. We also note that TSCDY has a PEG ratio of 0.50. 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. WMT currently has a PEG ratio of 4.01.
Another notable valuation metric for TSCDY is its P/B ratio of 1.85. 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, WMT has a P/B of 4.49.
Based on these metrics and many more, TSCDY holds a Value grade of A, while WMT has a Value grade of C.
Both TSCDY and WMT are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that TSCDY is the superior value option right now.
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TSCDY vs. WMT: Which Stock Is the Better Value Option?
Investors looking for stocks in the Retail - Supermarkets sector might want to consider either Tesco PLC (TSCDY - Free Report) or Walmart (WMT - 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.
Tesco PLC and Walmart are both sporting a Zacks Rank of # 1 (Strong Buy) right now. This means that both companies have witnessed positive earnings estimate revisions, so investors should feel comfortable knowing that both of these stocks have an improving earnings outlook. But this is just one piece of the puzzle for value investors.
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.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
TSCDY currently has a forward P/E ratio of 13.25, while WMT has a forward P/E of 22.05. We also note that TSCDY has a PEG ratio of 0.50. 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. WMT currently has a PEG ratio of 4.01.
Another notable valuation metric for TSCDY is its P/B ratio of 1.85. 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, WMT has a P/B of 4.49.
Based on these metrics and many more, TSCDY holds a Value grade of A, while WMT has a Value grade of C.
Both TSCDY and WMT are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that TSCDY is the superior value option right now.