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DTEGY vs. SCMWY: Which Stock Is the Better Value Option?
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Investors interested in Diversified Communication Services stocks are likely familiar with Deutsche Telekom AG (DTEGY - Free Report) and Swisscom AG (SCMWY - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? 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 proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Right now, Deutsche Telekom AG is sporting a Zacks Rank of #2 (Buy), while Swisscom AG has a Zacks Rank of #4 (Sell). This means that DTEGY's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is only part of the picture for value investors.
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 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.
DTEGY currently has a forward P/E ratio of 13.47, while SCMWY has a forward P/E of 16.58. We also note that DTEGY has a PEG ratio of 1.13. 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. SCMWY currently has a PEG ratio of 7.
Another notable valuation metric for DTEGY is its P/B ratio of 0.94. 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, SCMWY has a P/B of 23.17.
Based on these metrics and many more, DTEGY holds a Value grade of A, while SCMWY has a Value grade of F.
DTEGY stands above SCMWY thanks to its solid earnings outlook, and based on these valuation figures, we also feel that DTEGY is the superior value option right now.
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DTEGY vs. SCMWY: Which Stock Is the Better Value Option?
Investors interested in Diversified Communication Services stocks are likely familiar with Deutsche Telekom AG (DTEGY - Free Report) and Swisscom AG (SCMWY - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? 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 proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Right now, Deutsche Telekom AG is sporting a Zacks Rank of #2 (Buy), while Swisscom AG has a Zacks Rank of #4 (Sell). This means that DTEGY's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is only part of the picture for value investors.
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 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.
DTEGY currently has a forward P/E ratio of 13.47, while SCMWY has a forward P/E of 16.58. We also note that DTEGY has a PEG ratio of 1.13. 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. SCMWY currently has a PEG ratio of 7.
Another notable valuation metric for DTEGY is its P/B ratio of 0.94. 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, SCMWY has a P/B of 23.17.
Based on these metrics and many more, DTEGY holds a Value grade of A, while SCMWY has a Value grade of F.
DTEGY stands above SCMWY thanks to its solid earnings outlook, and based on these valuation figures, we also feel that DTEGY is the superior value option right now.