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GNL or CUBE: Which Is the Better Value Stock Right Now?
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Investors interested in REIT and Equity Trust - Other stocks are likely familiar with Global Net Lease (GNL - Free Report) and CubeSmart (CUBE - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Global Net Lease and CubeSmart are both sporting a Zacks Rank of # 2 (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. However, value investors will care about much more than just this.
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.
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.
GNL currently has a forward P/E ratio of 7.37, while CUBE has a forward P/E of 21.02. We also note that GNL has a PEG ratio of 1.23. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. CUBE currently has a PEG ratio of 2.79.
Another notable valuation metric for GNL is its P/B ratio of 0.93. 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, CUBE has a P/B of 3.84.
These metrics, and several others, help GNL earn a Value grade of B, while CUBE has been given a Value grade of F.
Both GNL and CUBE are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that GNL is the superior value option right now.
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GNL or CUBE: Which Is the Better Value Stock Right Now?
Investors interested in REIT and Equity Trust - Other stocks are likely familiar with Global Net Lease (GNL - Free Report) and CubeSmart (CUBE - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Global Net Lease and CubeSmart are both sporting a Zacks Rank of # 2 (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. However, value investors will care about much more than just this.
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.
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.
GNL currently has a forward P/E ratio of 7.37, while CUBE has a forward P/E of 21.02. We also note that GNL has a PEG ratio of 1.23. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. CUBE currently has a PEG ratio of 2.79.
Another notable valuation metric for GNL is its P/B ratio of 0.93. 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, CUBE has a P/B of 3.84.
These metrics, and several others, help GNL earn a Value grade of B, while CUBE has been given a Value grade of F.
Both GNL and CUBE are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that GNL is the superior value option right now.