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DB or MFG: Which Is the Better Value Stock Right Now?
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Investors looking for stocks in the Banks - Foreign sector might want to consider either Deutsche Bank (DB - Free Report) or Mizuho (MFG - 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.
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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Deutsche Bank and Mizuho are sporting Zacks Ranks of #2 (Buy) and #4 (Sell), respectively, right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that DB 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 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.
DB currently has a forward P/E ratio of 5.67, while MFG has a forward P/E of 8.39. We also note that DB has a PEG ratio of 0.87. 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. MFG currently has a PEG ratio of 1.27.
Another notable valuation metric for DB is its P/B ratio of 0.30. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, MFG has a P/B of 0.59.
These are just a few of the metrics contributing to DB's Value grade of A and MFG's Value grade of C.
DB stands above MFG thanks to its solid earnings outlook, and based on these valuation figures, we also feel that DB is the superior value option right now.
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DB or MFG: Which Is the Better Value Stock Right Now?
Investors looking for stocks in the Banks - Foreign sector might want to consider either Deutsche Bank (DB - Free Report) or Mizuho (MFG - 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.
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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Deutsche Bank and Mizuho are sporting Zacks Ranks of #2 (Buy) and #4 (Sell), respectively, right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that DB 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 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.
DB currently has a forward P/E ratio of 5.67, while MFG has a forward P/E of 8.39. We also note that DB has a PEG ratio of 0.87. 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. MFG currently has a PEG ratio of 1.27.
Another notable valuation metric for DB is its P/B ratio of 0.30. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, MFG has a P/B of 0.59.
These are just a few of the metrics contributing to DB's Value grade of A and MFG's Value grade of C.
DB stands above MFG thanks to its solid earnings outlook, and based on these valuation figures, we also feel that DB is the superior value option right now.