Investors interested in Banks - Foreign stocks are likely familiar with Mitsubishi UFJ (MUFG Quick QuoteMUFG - Free Report) and Bank of Nova Scotia (BNS Quick QuoteBNS - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.

Mitsubishi UFJ and Bank of Nova Scotia are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. Investors should feel comfortable knowing that MUFG likely has seen a stronger improvement to its earnings outlook than BNS has recently. 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.

MUFG currently has a forward P/E ratio of 7.85, while BNS has a forward P/E of 8.59. We also note that MUFG has a PEG ratio of 0.78. 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. BNS currently has a PEG ratio of 1.97.

Another notable valuation metric for MUFG is its P/B ratio of 0.60. 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, BNS has a P/B of 1.15.

These metrics, and several others, help MUFG earn a Value grade of B, while BNS has been given a Value grade of C.

MUFG is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that MUFG is likely the superior value option right now.