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FISV or ADYEY: Which Is the Better Value Stock Right Now?
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Investors looking for stocks in the Financial Transaction Services sector might want to consider either Fiserv or Adyen N.V. Unsponsored ADR (ADYEY - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's 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.
Fiserv and Adyen N.V. Unsponsored ADR are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. Investors should feel comfortable knowing that FISV likely has seen a stronger improvement to its earnings outlook than ADYEY has recently. But this is just one factor that value investors are interested in.
Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its current share price levels.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
FISV currently has a forward P/E ratio of 15.91, while ADYEY has a forward P/E of 51.71. We also note that FISV has a PEG ratio of 1.25. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. ADYEY currently has a PEG ratio of 1.57.
Another notable valuation metric for FISV is its P/B ratio of 2.35. 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, ADYEY has a P/B of 25.02.
Based on these metrics and many more, FISV holds a Value grade of B, while ADYEY has a Value grade of D.
FISV stands above ADYEY thanks to its solid earnings outlook, and based on these valuation figures, we also feel that FISV is the superior value option right now.
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FISV or ADYEY: Which Is the Better Value Stock Right Now?
Investors looking for stocks in the Financial Transaction Services sector might want to consider either Fiserv or Adyen N.V. Unsponsored ADR (ADYEY - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's 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.
Fiserv and Adyen N.V. Unsponsored ADR are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. Investors should feel comfortable knowing that FISV likely has seen a stronger improvement to its earnings outlook than ADYEY has recently. But this is just one factor that value investors are interested in.
Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its current share price levels.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
FISV currently has a forward P/E ratio of 15.91, while ADYEY has a forward P/E of 51.71. We also note that FISV has a PEG ratio of 1.25. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. ADYEY currently has a PEG ratio of 1.57.
Another notable valuation metric for FISV is its P/B ratio of 2.35. 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, ADYEY has a P/B of 25.02.
Based on these metrics and many more, FISV holds a Value grade of B, while ADYEY has a Value grade of D.
FISV stands above ADYEY thanks to its solid earnings outlook, and based on these valuation figures, we also feel that FISV is the superior value option right now.