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XRAY or COO: Which Is the Better Value Stock Right Now?

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Investors looking for stocks in the Medical - Dental Supplies sector might want to consider either Dentsply International (XRAY - Free Report) or The Cooper Companies (COO - 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.

Right now, Dentsply International is sporting a Zacks Rank of #2 (Buy), while The Cooper Companies has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that XRAY likely has seen a stronger improvement to its earnings outlook than COO 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.

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.

XRAY currently has a forward P/E ratio of 20.50, while COO has a forward P/E of 27.62. We also note that XRAY has a PEG ratio of 2.24. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. COO currently has a PEG ratio of 2.51.

Another notable valuation metric for XRAY is its P/B ratio of 2.29. 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, COO has a P/B of 2.36.

These are just a few of the metrics contributing to XRAY's Value grade of B and COO's Value grade of C.

XRAY sticks out from COO in both our Zacks Rank and Style Scores models, so value investors will likely feel that XRAY is the better option right now.


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DENTSPLY SIRONA Inc. (XRAY) - free report >>

The Cooper Companies, Inc. (COO) - free report >>

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