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HCCI vs. CWST: Which Stock Is the Better Value Option?
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Investors looking for stocks in the Pollution Control sector might want to consider either Heritage-Crystal Clean or Casella (CWST - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great 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, Heritage-Crystal Clean has a Zacks Rank of #2 (Buy), while Casella has a Zacks Rank of #3 (Hold). This means that HCCI's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. However, value investors will care about much more than just this.
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.
HCCI currently has a forward P/E ratio of 8.42, while CWST has a forward P/E of 72.08. We also note that HCCI has a PEG ratio of 0.56. 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. CWST currently has a PEG ratio of 3.41.
Another notable valuation metric for HCCI is its P/B ratio of 1.68. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, CWST has a P/B of 8.56.
These metrics, and several others, help HCCI earn a Value grade of A, while CWST has been given a Value grade of D.
HCCI is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that HCCI is likely the superior value option right now.
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HCCI vs. CWST: Which Stock Is the Better Value Option?
Investors looking for stocks in the Pollution Control sector might want to consider either Heritage-Crystal Clean or Casella (CWST - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great 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, Heritage-Crystal Clean has a Zacks Rank of #2 (Buy), while Casella has a Zacks Rank of #3 (Hold). This means that HCCI's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. However, value investors will care about much more than just this.
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.
HCCI currently has a forward P/E ratio of 8.42, while CWST has a forward P/E of 72.08. We also note that HCCI has a PEG ratio of 0.56. 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. CWST currently has a PEG ratio of 3.41.
Another notable valuation metric for HCCI is its P/B ratio of 1.68. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, CWST has a P/B of 8.56.
These metrics, and several others, help HCCI earn a Value grade of A, while CWST has been given a Value grade of D.
HCCI is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that HCCI is likely the superior value option right now.