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EXEL vs. REGN: Which Stock Is the Better Value Option?
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Investors interested in stocks from the Medical - Biomedical and Genetics sector have probably already heard of Exelixis (EXEL - Free Report) and Regeneron (REGN - Free Report) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Exelixis has a Zacks Rank of #2 (Buy), while Regeneron has a Zacks Rank of #3 (Hold) right now. Investors should feel comfortable knowing that EXEL likely has seen a stronger improvement to its earnings outlook than REGN has recently. But this is just one factor that value investors are interested in.
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.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
EXEL currently has a forward P/E ratio of 15.24, while REGN has a forward P/E of 21.56. We also note that EXEL has a PEG ratio of 0.49. 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. REGN currently has a PEG ratio of 2.40.
Another notable valuation metric for EXEL is its P/B ratio of 2.98. 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, REGN has a P/B of 4.08.
These are just a few of the metrics contributing to EXEL's Value grade of B and REGN's Value grade of C.
EXEL has seen stronger estimate revision activity and sports more attractive valuation metrics than REGN, so it seems like value investors will conclude that EXEL is the superior option right now.
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EXEL vs. REGN: Which Stock Is the Better Value Option?
Investors interested in stocks from the Medical - Biomedical and Genetics sector have probably already heard of Exelixis (EXEL - Free Report) and Regeneron (REGN - Free Report) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Exelixis has a Zacks Rank of #2 (Buy), while Regeneron has a Zacks Rank of #3 (Hold) right now. Investors should feel comfortable knowing that EXEL likely has seen a stronger improvement to its earnings outlook than REGN has recently. But this is just one factor that value investors are interested in.
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.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
EXEL currently has a forward P/E ratio of 15.24, while REGN has a forward P/E of 21.56. We also note that EXEL has a PEG ratio of 0.49. 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. REGN currently has a PEG ratio of 2.40.
Another notable valuation metric for EXEL is its P/B ratio of 2.98. 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, REGN has a P/B of 4.08.
These are just a few of the metrics contributing to EXEL's Value grade of B and REGN's Value grade of C.
EXEL has seen stronger estimate revision activity and sports more attractive valuation metrics than REGN, so it seems like value investors will conclude that EXEL is the superior option right now.