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DINO vs. ORA: Which Stock Is the Better Value Option?
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Investors interested in stocks from the Alternative Energy - Other sector have probably already heard of HF Sinclair (DINO - Free Report) and Ormat Technologies (ORA - 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.
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 favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
HF Sinclair and Ormat Technologies are sporting Zacks Ranks of #1 (Strong Buy) and #3 (Hold), respectively, right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that DINO has an improving earnings outlook. But this is just one factor that value investors are interested in.
Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its 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.
DINO currently has a forward P/E ratio of 4.36, while ORA has a forward P/E of 74.47. We also note that DINO has a PEG ratio of 0.29. 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. ORA currently has a PEG ratio of 6.77.
Another notable valuation metric for DINO is its P/B ratio of 1.39. 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, ORA has a P/B of 2.81.
These metrics, and several others, help DINO earn a Value grade of A, while ORA has been given a Value grade of D.
DINO has seen stronger estimate revision activity and sports more attractive valuation metrics than ORA, so it seems like value investors will conclude that DINO is the superior option right now.
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DINO vs. ORA: Which Stock Is the Better Value Option?
Investors interested in stocks from the Alternative Energy - Other sector have probably already heard of HF Sinclair (DINO - Free Report) and Ormat Technologies (ORA - 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.
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 favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
HF Sinclair and Ormat Technologies are sporting Zacks Ranks of #1 (Strong Buy) and #3 (Hold), respectively, right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that DINO has an improving earnings outlook. But this is just one factor that value investors are interested in.
Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its 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.
DINO currently has a forward P/E ratio of 4.36, while ORA has a forward P/E of 74.47. We also note that DINO has a PEG ratio of 0.29. 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. ORA currently has a PEG ratio of 6.77.
Another notable valuation metric for DINO is its P/B ratio of 1.39. 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, ORA has a P/B of 2.81.
These metrics, and several others, help DINO earn a Value grade of A, while ORA has been given a Value grade of D.
DINO has seen stronger estimate revision activity and sports more attractive valuation metrics than ORA, so it seems like value investors will conclude that DINO is the superior option right now.