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NEXA or SSRM: Which Is the Better Value Stock Right Now?
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Investors looking for stocks in the Mining - Miscellaneous sector might want to consider either Nexa Resources S.A. (NEXA - Free Report) or SSR Mining (SSRM - 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.
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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, Nexa Resources S.A. is sporting a Zacks Rank of #1 (Strong Buy), while SSR Mining has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that NEXA likely has seen a stronger improvement to its earnings outlook than SSRM has recently. 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 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.
NEXA currently has a forward P/E ratio of 5.59, while SSRM has a forward P/E of 23.23. We also note that NEXA has a PEG ratio of 2.29. 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. SSRM currently has a PEG ratio of 7.74.
Another notable valuation metric for NEXA is its P/B ratio of 0.44. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, SSRM has a P/B of 0.82.
These metrics, and several others, help NEXA earn a Value grade of A, while SSRM has been given a Value grade of C.
NEXA stands above SSRM thanks to its solid earnings outlook, and based on these valuation figures, we also feel that NEXA is the superior value option right now.
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NEXA or SSRM: Which Is the Better Value Stock Right Now?
Investors looking for stocks in the Mining - Miscellaneous sector might want to consider either Nexa Resources S.A. (NEXA - Free Report) or SSR Mining (SSRM - 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.
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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, Nexa Resources S.A. is sporting a Zacks Rank of #1 (Strong Buy), while SSR Mining has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that NEXA likely has seen a stronger improvement to its earnings outlook than SSRM has recently. 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 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.
NEXA currently has a forward P/E ratio of 5.59, while SSRM has a forward P/E of 23.23. We also note that NEXA has a PEG ratio of 2.29. 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. SSRM currently has a PEG ratio of 7.74.
Another notable valuation metric for NEXA is its P/B ratio of 0.44. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, SSRM has a P/B of 0.82.
These metrics, and several others, help NEXA earn a Value grade of A, while SSRM has been given a Value grade of C.
NEXA stands above SSRM thanks to its solid earnings outlook, and based on these valuation figures, we also feel that NEXA is the superior value option right now.