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OC vs. HLMN: Which Stock Should Value Investors Buy Now?
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Investors interested in stocks from the Building Products - Miscellaneous sector have probably already heard of Owens Corning (OC - Free Report) and Hillman Solutions Corp. (HLMN - 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.
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, Owens Corning has a Zacks Rank of #2 (Buy), while Hillman Solutions Corp. has a Zacks Rank of #3 (Hold). This means that OC's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. However, value investors will care about much more than just this.
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.
Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
OC currently has a forward P/E ratio of 8.05, while HLMN has a forward P/E of 59.90. We also note that OC has a PEG ratio of 0.57. 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. HLMN currently has a PEG ratio of 4.99.
Another notable valuation metric for OC is its P/B ratio of 1.97. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, HLMN has a P/B of 2.02.
These metrics, and several others, help OC earn a Value grade of A, while HLMN has been given a Value grade of D.
OC stands above HLMN thanks to its solid earnings outlook, and based on these valuation figures, we also feel that OC is the superior value option right now.
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OC vs. HLMN: Which Stock Should Value Investors Buy Now?
Investors interested in stocks from the Building Products - Miscellaneous sector have probably already heard of Owens Corning (OC - Free Report) and Hillman Solutions Corp. (HLMN - 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.
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, Owens Corning has a Zacks Rank of #2 (Buy), while Hillman Solutions Corp. has a Zacks Rank of #3 (Hold). This means that OC's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. However, value investors will care about much more than just this.
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.
Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
OC currently has a forward P/E ratio of 8.05, while HLMN has a forward P/E of 59.90. We also note that OC has a PEG ratio of 0.57. 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. HLMN currently has a PEG ratio of 4.99.
Another notable valuation metric for OC is its P/B ratio of 1.97. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, HLMN has a P/B of 2.02.
These metrics, and several others, help OC earn a Value grade of A, while HLMN has been given a Value grade of D.
OC stands above HLMN thanks to its solid earnings outlook, and based on these valuation figures, we also feel that OC is the superior value option right now.