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BAYRY vs. RHHBY: Which Stock Is the Better Value Option?
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Investors interested in stocks from the Large Cap Pharmaceuticals sector have probably already heard of Bayer Aktiengesellschaft (BAYRY - Free Report) and Roche Holding AG (RHHBY - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Bayer Aktiengesellschaft has a Zacks Rank of #2 (Buy), while Roche Holding AG has a Zacks Rank of #5 (Strong Sell) right now. Investors should feel comfortable knowing that BAYRY likely has seen a stronger improvement to its earnings outlook than RHHBY has recently. But this is only part of the picture for value investors.
Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its current share price levels.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
BAYRY currently has a forward P/E ratio of 7.14, while RHHBY has a forward P/E of 15.46. We also note that BAYRY has a PEG ratio of 1.52. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. RHHBY currently has a PEG ratio of 2.52.
Another notable valuation metric for BAYRY is its P/B ratio of 1.31. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, RHHBY has a P/B of 9.15.
These are just a few of the metrics contributing to BAYRY's Value grade of A and RHHBY's Value grade of D.
BAYRY sticks out from RHHBY in both our Zacks Rank and Style Scores models, so value investors will likely feel that BAYRY is the better option right now.
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BAYRY vs. RHHBY: Which Stock Is the Better Value Option?
Investors interested in stocks from the Large Cap Pharmaceuticals sector have probably already heard of Bayer Aktiengesellschaft (BAYRY - Free Report) and Roche Holding AG (RHHBY - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Bayer Aktiengesellschaft has a Zacks Rank of #2 (Buy), while Roche Holding AG has a Zacks Rank of #5 (Strong Sell) right now. Investors should feel comfortable knowing that BAYRY likely has seen a stronger improvement to its earnings outlook than RHHBY has recently. But this is only part of the picture for value investors.
Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its current share price levels.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
BAYRY currently has a forward P/E ratio of 7.14, while RHHBY has a forward P/E of 15.46. We also note that BAYRY has a PEG ratio of 1.52. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. RHHBY currently has a PEG ratio of 2.52.
Another notable valuation metric for BAYRY is its P/B ratio of 1.31. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, RHHBY has a P/B of 9.15.
These are just a few of the metrics contributing to BAYRY's Value grade of A and RHHBY's Value grade of D.
BAYRY sticks out from RHHBY in both our Zacks Rank and Style Scores models, so value investors will likely feel that BAYRY is the better option right now.