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BCC vs. TREX: Which Stock Is the Better Value Option?
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Investors with an interest in Building Products - Wood stocks have likely encountered both Boise Cascade (BCC - Free Report) and Trex (TREX - 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.
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 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, Boise Cascade has a Zacks Rank of #1 (Strong Buy), while Trex has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that BCC likely has seen a stronger improvement to its earnings outlook than TREX has recently. 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.
Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
BCC currently has a forward P/E ratio of 3.27, while TREX has a forward P/E of 24.62. We also note that BCC has a PEG ratio of 1.43. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. TREX currently has a PEG ratio of 8.98.
Another notable valuation metric for BCC is its P/B ratio of 1.33. 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, TREX has a P/B of 8.69.
Based on these metrics and many more, BCC holds a Value grade of A, while TREX has a Value grade of C.
BCC sticks out from TREX in both our Zacks Rank and Style Scores models, so value investors will likely feel that BCC is the better option right now.
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BCC vs. TREX: Which Stock Is the Better Value Option?
Investors with an interest in Building Products - Wood stocks have likely encountered both Boise Cascade (BCC - Free Report) and Trex (TREX - 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.
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 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, Boise Cascade has a Zacks Rank of #1 (Strong Buy), while Trex has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that BCC likely has seen a stronger improvement to its earnings outlook than TREX has recently. 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.
Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
BCC currently has a forward P/E ratio of 3.27, while TREX has a forward P/E of 24.62. We also note that BCC has a PEG ratio of 1.43. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. TREX currently has a PEG ratio of 8.98.
Another notable valuation metric for BCC is its P/B ratio of 1.33. 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, TREX has a P/B of 8.69.
Based on these metrics and many more, BCC holds a Value grade of A, while TREX has a Value grade of C.
BCC sticks out from TREX in both our Zacks Rank and Style Scores models, so value investors will likely feel that BCC is the better option right now.