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CIOXY vs. BX: Which Stock Should Value Investors Buy Now?

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Investors interested in stocks from the Financial - Miscellaneous Services sector have probably already heard of Cielo SA (CIOXY - Free Report) and Blackstone Inc. (BX - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.

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 emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.

Right now, Cielo SA is sporting a Zacks Rank of #2 (Buy), while Blackstone Inc. has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that CIOXY has an improving earnings outlook. But this is just one piece of the puzzle for value investors.

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.

CIOXY currently has a forward P/E ratio of 8.95, while BX has a forward P/E of 20.11. We also note that CIOXY has a PEG ratio of 0.24. 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. BX currently has a PEG ratio of 2.51.

Another notable valuation metric for CIOXY is its P/B ratio of 0.94. 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, BX has a P/B of 3.95.

These are just a few of the metrics contributing to CIOXY's Value grade of B and BX's Value grade of C.

CIOXY sticks out from BX in both our Zacks Rank and Style Scores models, so value investors will likely feel that CIOXY is the better option right now.


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