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PETQ vs. BSX: Which Stock Is the Better Value Option?
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Investors looking for stocks in the Medical - Products sector might want to consider either PetIQ (PETQ - Free Report) or Boston Scientific (BSX - 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.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, PetIQ has a Zacks Rank of #2 (Buy), while Boston Scientific has a Zacks Rank of #4 (Sell). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that PETQ has an improving earnings outlook. 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.
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.
PETQ currently has a forward P/E ratio of 14.36, while BSX has a forward P/E of 21.41. We also note that PETQ has a PEG ratio of 1.79. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. BSX currently has a PEG ratio of 2.05.
Another notable valuation metric for PETQ is its P/B ratio of 1.96. 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, BSX has a P/B of 3.22.
These metrics, and several others, help PETQ earn a Value grade of B, while BSX has been given a Value grade of C.
PETQ stands above BSX thanks to its solid earnings outlook, and based on these valuation figures, we also feel that PETQ is the superior value option right now.
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PETQ vs. BSX: Which Stock Is the Better Value Option?
Investors looking for stocks in the Medical - Products sector might want to consider either PetIQ (PETQ - Free Report) or Boston Scientific (BSX - 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.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, PetIQ has a Zacks Rank of #2 (Buy), while Boston Scientific has a Zacks Rank of #4 (Sell). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that PETQ has an improving earnings outlook. 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.
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.
PETQ currently has a forward P/E ratio of 14.36, while BSX has a forward P/E of 21.41. We also note that PETQ has a PEG ratio of 1.79. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. BSX currently has a PEG ratio of 2.05.
Another notable valuation metric for PETQ is its P/B ratio of 1.96. 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, BSX has a P/B of 3.22.
These metrics, and several others, help PETQ earn a Value grade of B, while BSX has been given a Value grade of C.
PETQ stands above BSX thanks to its solid earnings outlook, and based on these valuation figures, we also feel that PETQ is the superior value option right now.