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ADRNY vs. KMB: Which Stock Is the Better Value Option?
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Investors with an interest in Consumer Products - Staples stocks have likely encountered both Ahold NV (ADRNY - Free Report) and Kimberly-Clark (KMB - 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.
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 favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, Ahold NV has a Zacks Rank of #1 (Strong Buy), while Kimberly-Clark has a Zacks Rank of #3 (Hold). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that ADRNY is likely seeing its earnings outlook improve to a greater extent. However, value investors will care about much more than just this.
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 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.
ADRNY currently has a forward P/E ratio of 11.89, while KMB has a forward P/E of 20.76. We also note that ADRNY has a PEG ratio of 1.64. 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. KMB currently has a PEG ratio of 3.25.
Another notable valuation metric for ADRNY is its P/B ratio of 1.85. 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, KMB has a P/B of 76.51.
Based on these metrics and many more, ADRNY holds a Value grade of A, while KMB has a Value grade of C.
ADRNY has seen stronger estimate revision activity and sports more attractive valuation metrics than KMB, so it seems like value investors will conclude that ADRNY is the superior option right now.
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ADRNY vs. KMB: Which Stock Is the Better Value Option?
Investors with an interest in Consumer Products - Staples stocks have likely encountered both Ahold NV (ADRNY - Free Report) and Kimberly-Clark (KMB - 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.
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 favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, Ahold NV has a Zacks Rank of #1 (Strong Buy), while Kimberly-Clark has a Zacks Rank of #3 (Hold). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that ADRNY is likely seeing its earnings outlook improve to a greater extent. However, value investors will care about much more than just this.
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 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.
ADRNY currently has a forward P/E ratio of 11.89, while KMB has a forward P/E of 20.76. We also note that ADRNY has a PEG ratio of 1.64. 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. KMB currently has a PEG ratio of 3.25.
Another notable valuation metric for ADRNY is its P/B ratio of 1.85. 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, KMB has a P/B of 76.51.
Based on these metrics and many more, ADRNY holds a Value grade of A, while KMB has a Value grade of C.
ADRNY has seen stronger estimate revision activity and sports more attractive valuation metrics than KMB, so it seems like value investors will conclude that ADRNY is the superior option right now.