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SWDBY vs. IBN: Which Stock Is the Better Value Option?
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Investors interested in Banks - Foreign stocks are likely familiar with Swedbank AB (SWDBY - Free Report) and ICICI Bank Limited (IBN - 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.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Both Swedbank AB and ICICI Bank Limited have a Zacks Rank of # 2 (Buy) right now. Investors should feel comfortable knowing that both of these stocks have an improving earnings outlook since the Zacks Rank favors companies that have witnessed positive analyst estimate revisions. But this is just one piece of the puzzle 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.
SWDBY currently has a forward P/E ratio of 9.72, while IBN has a forward P/E of 18.78. We also note that SWDBY has a PEG ratio of 0.88. 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. IBN currently has a PEG ratio of 1.68.
Another notable valuation metric for SWDBY is its P/B ratio of 1.49. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, IBN has a P/B of 3.02.
These metrics, and several others, help SWDBY earn a Value grade of B, while IBN has been given a Value grade of D.
Both SWDBY and IBN are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that SWDBY is the superior value option right now.
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SWDBY vs. IBN: Which Stock Is the Better Value Option?
Investors interested in Banks - Foreign stocks are likely familiar with Swedbank AB (SWDBY - Free Report) and ICICI Bank Limited (IBN - 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.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Both Swedbank AB and ICICI Bank Limited have a Zacks Rank of # 2 (Buy) right now. Investors should feel comfortable knowing that both of these stocks have an improving earnings outlook since the Zacks Rank favors companies that have witnessed positive analyst estimate revisions. But this is just one piece of the puzzle 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.
SWDBY currently has a forward P/E ratio of 9.72, while IBN has a forward P/E of 18.78. We also note that SWDBY has a PEG ratio of 0.88. 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. IBN currently has a PEG ratio of 1.68.
Another notable valuation metric for SWDBY is its P/B ratio of 1.49. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, IBN has a P/B of 3.02.
These metrics, and several others, help SWDBY earn a Value grade of B, while IBN has been given a Value grade of D.
Both SWDBY and IBN are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that SWDBY is the superior value option right now.