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SPXC vs. PLTR: Which Stock Is the Better Value Option?
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Investors looking for stocks in the Technology Services sector might want to consider either SPX Technologies (SPXC - Free Report) or Palantir Technologies Inc. (PLTR - 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.
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.
SPX Technologies and Palantir Technologies Inc. are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. This means that SPXC's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. 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.
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.
SPXC currently has a forward P/E ratio of 23.24, while PLTR has a forward P/E of 71.45. We also note that SPXC has a PEG ratio of 1.29. 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. PLTR currently has a PEG ratio of 2.73.
Another notable valuation metric for SPXC is its P/B ratio of 4.46. 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, PLTR has a P/B of 14.51.
These are just a few of the metrics contributing to SPXC's Value grade of B and PLTR's Value grade of D.
SPXC stands above PLTR thanks to its solid earnings outlook, and based on these valuation figures, we also feel that SPXC is the superior value option right now.
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SPXC vs. PLTR: Which Stock Is the Better Value Option?
Investors looking for stocks in the Technology Services sector might want to consider either SPX Technologies (SPXC - Free Report) or Palantir Technologies Inc. (PLTR - 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.
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.
SPX Technologies and Palantir Technologies Inc. are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. This means that SPXC's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. 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.
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.
SPXC currently has a forward P/E ratio of 23.24, while PLTR has a forward P/E of 71.45. We also note that SPXC has a PEG ratio of 1.29. 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. PLTR currently has a PEG ratio of 2.73.
Another notable valuation metric for SPXC is its P/B ratio of 4.46. 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, PLTR has a P/B of 14.51.
These are just a few of the metrics contributing to SPXC's Value grade of B and PLTR's Value grade of D.
SPXC stands above PLTR thanks to its solid earnings outlook, and based on these valuation figures, we also feel that SPXC is the superior value option right now.