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WRB or TKOMY: Which Is the Better Value Stock Right Now?
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Investors interested in Insurance - Property and Casualty stocks are likely familiar with W.R. Berkley (WRB - Free Report) and Tokio Marine Holdings Inc. (TKOMY - 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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, W.R. Berkley is sporting a Zacks Rank of #2 (Buy), while Tokio Marine Holdings Inc. 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 WRB is likely seeing its earnings outlook improve to a greater extent. But this is just one factor that value investors are interested in.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their 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.
WRB currently has a forward P/E ratio of 13.51, while TKOMY has a forward P/E of 18.10. We also note that WRB has a PEG ratio of 1.50. 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. TKOMY currently has a PEG ratio of 6.07.
Another notable valuation metric for WRB is its P/B ratio of 2.99. 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, TKOMY has a P/B of 5.42.
These are just a few of the metrics contributing to WRB's Value grade of B and TKOMY's Value grade of D.
WRB sticks out from TKOMY in both our Zacks Rank and Style Scores models, so value investors will likely feel that WRB is the better option right now.
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WRB or TKOMY: Which Is the Better Value Stock Right Now?
Investors interested in Insurance - Property and Casualty stocks are likely familiar with W.R. Berkley (WRB - Free Report) and Tokio Marine Holdings Inc. (TKOMY - 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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, W.R. Berkley is sporting a Zacks Rank of #2 (Buy), while Tokio Marine Holdings Inc. 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 WRB is likely seeing its earnings outlook improve to a greater extent. But this is just one factor that value investors are interested in.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their 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.
WRB currently has a forward P/E ratio of 13.51, while TKOMY has a forward P/E of 18.10. We also note that WRB has a PEG ratio of 1.50. 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. TKOMY currently has a PEG ratio of 6.07.
Another notable valuation metric for WRB is its P/B ratio of 2.99. 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, TKOMY has a P/B of 5.42.
These are just a few of the metrics contributing to WRB's Value grade of B and TKOMY's Value grade of D.
WRB sticks out from TKOMY in both our Zacks Rank and Style Scores models, so value investors will likely feel that WRB is the better option right now.