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CB or TKOMY: Which Is the Better Value Stock Right Now?
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Investors with an interest in Insurance - Property and Casualty stocks have likely encountered both Chubb (CB - Free Report) and Tokio Marine Holdings Inc. (TKOMY - 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Right now, Chubb is sporting a Zacks Rank of #2 (Buy), while Tokio Marine Holdings Inc. has a Zacks Rank of #4 (Sell). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that CB has an improving earnings outlook. But this is only part of the picture for value investors.
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 highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
CB currently has a forward P/E ratio of 11.76, while TKOMY has a forward P/E of 15.82. We also note that CB has a PEG ratio of 1.18. 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. TKOMY currently has a PEG ratio of 5.31.
Another notable valuation metric for CB is its P/B ratio of 1.66. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, TKOMY has a P/B of 5.14.
Based on these metrics and many more, CB holds a Value grade of B, while TKOMY has a Value grade of D.
CB sticks out from TKOMY in both our Zacks Rank and Style Scores models, so value investors will likely feel that CB is the better option right now.
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CB or TKOMY: Which Is the Better Value Stock Right Now?
Investors with an interest in Insurance - Property and Casualty stocks have likely encountered both Chubb (CB - Free Report) and Tokio Marine Holdings Inc. (TKOMY - 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Right now, Chubb is sporting a Zacks Rank of #2 (Buy), while Tokio Marine Holdings Inc. has a Zacks Rank of #4 (Sell). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that CB has an improving earnings outlook. But this is only part of the picture for value investors.
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 highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
CB currently has a forward P/E ratio of 11.76, while TKOMY has a forward P/E of 15.82. We also note that CB has a PEG ratio of 1.18. 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. TKOMY currently has a PEG ratio of 5.31.
Another notable valuation metric for CB is its P/B ratio of 1.66. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, TKOMY has a P/B of 5.14.
Based on these metrics and many more, CB holds a Value grade of B, while TKOMY has a Value grade of D.
CB sticks out from TKOMY in both our Zacks Rank and Style Scores models, so value investors will likely feel that CB is the better option right now.