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UOVEY vs. TD: Which Stock Is the Better Value Option?
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Investors with an interest in Banks - Foreign stocks have likely encountered both United Overseas Bank Ltd. (UOVEY - Free Report) and Toronto-Dominion Bank (TD - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Right now, United Overseas Bank Ltd. is sporting a Zacks Rank of #2 (Buy), while Toronto-Dominion Bank has a Zacks Rank of #3 (Hold). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that UOVEY is likely seeing its earnings outlook improve to a greater extent. But this is just one piece of the puzzle for value investors.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their 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.
UOVEY currently has a forward P/E ratio of 8.31, while TD has a forward P/E of 10.10. We also note that UOVEY has a PEG ratio of 1.24. 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. TD currently has a PEG ratio of 2.05.
Another notable valuation metric for UOVEY 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, TD has a P/B of 1.46.
These are just a few of the metrics contributing to UOVEY's Value grade of B and TD's Value grade of F.
UOVEY stands above TD thanks to its solid earnings outlook, and based on these valuation figures, we also feel that UOVEY is the superior value option right now.
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UOVEY vs. TD: Which Stock Is the Better Value Option?
Investors with an interest in Banks - Foreign stocks have likely encountered both United Overseas Bank Ltd. (UOVEY - Free Report) and Toronto-Dominion Bank (TD - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Right now, United Overseas Bank Ltd. is sporting a Zacks Rank of #2 (Buy), while Toronto-Dominion Bank has a Zacks Rank of #3 (Hold). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that UOVEY is likely seeing its earnings outlook improve to a greater extent. But this is just one piece of the puzzle for value investors.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their 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.
UOVEY currently has a forward P/E ratio of 8.31, while TD has a forward P/E of 10.10. We also note that UOVEY has a PEG ratio of 1.24. 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. TD currently has a PEG ratio of 2.05.
Another notable valuation metric for UOVEY 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, TD has a P/B of 1.46.
These are just a few of the metrics contributing to UOVEY's Value grade of B and TD's Value grade of F.
UOVEY stands above TD thanks to its solid earnings outlook, and based on these valuation figures, we also feel that UOVEY is the superior value option right now.