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SXI vs. NDSN: Which Stock Should Value Investors Buy Now?
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Investors interested in Manufacturing - General Industrial stocks are likely familiar with Standex International (SXI - Free Report) and Nordson (NDSN - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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.
Standex International and Nordson are both sporting a Zacks Rank of # 2 (Buy) right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that both of these companies have improving earnings outlooks. 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.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
SXI currently has a forward P/E ratio of 18.07, while NDSN has a forward P/E of 25.35. We also note that SXI has a PEG ratio of 1.29. 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. NDSN currently has a PEG ratio of 1.95.
Another notable valuation metric for SXI is its P/B ratio of 2.50. 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, NDSN has a P/B of 5.99.
These are just a few of the metrics contributing to SXI's Value grade of B and NDSN's Value grade of D.
Both SXI and NDSN are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that SXI is the superior value option right now.
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SXI vs. NDSN: Which Stock Should Value Investors Buy Now?
Investors interested in Manufacturing - General Industrial stocks are likely familiar with Standex International (SXI - Free Report) and Nordson (NDSN - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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.
Standex International and Nordson are both sporting a Zacks Rank of # 2 (Buy) right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that both of these companies have improving earnings outlooks. 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.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
SXI currently has a forward P/E ratio of 18.07, while NDSN has a forward P/E of 25.35. We also note that SXI has a PEG ratio of 1.29. 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. NDSN currently has a PEG ratio of 1.95.
Another notable valuation metric for SXI is its P/B ratio of 2.50. 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, NDSN has a P/B of 5.99.
These are just a few of the metrics contributing to SXI's Value grade of B and NDSN's Value grade of D.
Both SXI and NDSN are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that SXI is the superior value option right now.