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NMRK or KW: Which Is the Better Value Stock Right Now?
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Investors interested in Real Estate - Operations stocks are likely familiar with Newmark Group (NMRK - Free Report) and Kennedy-Wilson (KW - 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 Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Currently, Newmark Group has a Zacks Rank of #1 (Strong Buy), while Kennedy-Wilson has a Zacks Rank of #2 (Buy). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that NMRK has an improving earnings outlook. But this is just one factor that value investors are interested in.
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 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.
NMRK currently has a forward P/E ratio of 5.61, while KW has a forward P/E of 9.98. We also note that NMRK has a PEG ratio of 0.56. 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. KW currently has a PEG ratio of 4.56.
Another notable valuation metric for NMRK is its P/B ratio of 1.22. 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, KW has a P/B of 1.78.
These are just a few of the metrics contributing to NMRK's Value grade of B and KW's Value grade of D.
NMRK has seen stronger estimate revision activity and sports more attractive valuation metrics than KW, so it seems like value investors will conclude that NMRK is the superior option right now.
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NMRK or KW: Which Is the Better Value Stock Right Now?
Investors interested in Real Estate - Operations stocks are likely familiar with Newmark Group (NMRK - Free Report) and Kennedy-Wilson (KW - 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 Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Currently, Newmark Group has a Zacks Rank of #1 (Strong Buy), while Kennedy-Wilson has a Zacks Rank of #2 (Buy). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that NMRK has an improving earnings outlook. But this is just one factor that value investors are interested in.
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 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.
NMRK currently has a forward P/E ratio of 5.61, while KW has a forward P/E of 9.98. We also note that NMRK has a PEG ratio of 0.56. 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. KW currently has a PEG ratio of 4.56.
Another notable valuation metric for NMRK is its P/B ratio of 1.22. 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, KW has a P/B of 1.78.
These are just a few of the metrics contributing to NMRK's Value grade of B and KW's Value grade of D.
NMRK has seen stronger estimate revision activity and sports more attractive valuation metrics than KW, so it seems like value investors will conclude that NMRK is the superior option right now.