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SYF vs. GBOOY: Which Stock Is the Better Value Option?
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Investors interested in stocks from the Financial - Miscellaneous Services sector have probably already heard of Synchrony (SYF - Free Report) and Grupo Financiero Banorte SAB de CV (GBOOY - 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.
Synchrony has a Zacks Rank of #2 (Buy), while Grupo Financiero Banorte SAB de CV has a Zacks Rank of #4 (Sell) right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that SYF has an improving earnings outlook. But this is only part of the picture 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.
SYF currently has a forward P/E ratio of 4.94, while GBOOY has a forward P/E of 7.76. We also note that SYF has a PEG ratio of 0.21. 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. GBOOY currently has a PEG ratio of 0.54.
Another notable valuation metric for SYF is its P/B ratio of 1.13. 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, GBOOY has a P/B of 1.33.
Based on these metrics and many more, SYF holds a Value grade of A, while GBOOY has a Value grade of C.
SYF stands above GBOOY thanks to its solid earnings outlook, and based on these valuation figures, we also feel that SYF is the superior value option right now.
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SYF vs. GBOOY: Which Stock Is the Better Value Option?
Investors interested in stocks from the Financial - Miscellaneous Services sector have probably already heard of Synchrony (SYF - Free Report) and Grupo Financiero Banorte SAB de CV (GBOOY - 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.
Synchrony has a Zacks Rank of #2 (Buy), while Grupo Financiero Banorte SAB de CV has a Zacks Rank of #4 (Sell) right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that SYF has an improving earnings outlook. But this is only part of the picture 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.
SYF currently has a forward P/E ratio of 4.94, while GBOOY has a forward P/E of 7.76. We also note that SYF has a PEG ratio of 0.21. 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. GBOOY currently has a PEG ratio of 0.54.
Another notable valuation metric for SYF is its P/B ratio of 1.13. 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, GBOOY has a P/B of 1.33.
Based on these metrics and many more, SYF holds a Value grade of A, while GBOOY has a Value grade of C.
SYF stands above GBOOY thanks to its solid earnings outlook, and based on these valuation figures, we also feel that SYF is the superior value option right now.