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CRBG vs. PUK: Which Stock Is the Better Value Option?

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Investors with an interest in Insurance - Multi line stocks have likely encountered both Corebridge Financial (CRBG - Free Report) and Prudential (PUK - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? 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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.

Corebridge Financial has a Zacks Rank of #2 (Buy), while Prudential has a Zacks Rank of #5 (Strong Sell) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that CRBG is likely seeing its earnings outlook improve to a greater extent. But this is only part of the picture for value investors.

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.

CRBG currently has a forward P/E ratio of 4.24, while PUK has a forward P/E of 13.56. We also note that CRBG has a PEG ratio of 0.20. 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. PUK currently has a PEG ratio of 1.51.

Another notable valuation metric for CRBG is its P/B ratio of 1. 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, PUK has a P/B of 2.06.

Based on these metrics and many more, CRBG holds a Value grade of A, while PUK has a Value grade of D.

CRBG 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 CRBG is likely the superior value option right now.


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Prudential Public Limited Company (PUK) - free report >>

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