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VNT or PLTR: Which Is the Better Value Stock Right Now?
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Investors looking for stocks in the Technology Services sector might want to consider either Vontier Corporation (VNT - Free Report) or Palantir Technologies Inc. (PLTR - 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.
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 puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Right now, Vontier Corporation is sporting a Zacks Rank of #2 (Buy), while Palantir Technologies Inc. has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that VNT likely has seen a stronger improvement to its earnings outlook than PLTR has recently. But this is just one factor that value investors are interested in.
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.
VNT currently has a forward P/E ratio of 13.58, while PLTR has a forward P/E of 68.38. We also note that VNT has a PEG ratio of 1.25. 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. PLTR currently has a PEG ratio of 2.61.
Another notable valuation metric for VNT is its P/B ratio of 7.37. 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, PLTR has a P/B of 13.89.
These metrics, and several others, help VNT earn a Value grade of A, while PLTR has been given a Value grade of D.
VNT is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that VNT is likely the superior value option right now.
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VNT or PLTR: Which Is the Better Value Stock Right Now?
Investors looking for stocks in the Technology Services sector might want to consider either Vontier Corporation (VNT - Free Report) or Palantir Technologies Inc. (PLTR - 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.
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 puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Right now, Vontier Corporation is sporting a Zacks Rank of #2 (Buy), while Palantir Technologies Inc. has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that VNT likely has seen a stronger improvement to its earnings outlook than PLTR has recently. But this is just one factor that value investors are interested in.
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.
VNT currently has a forward P/E ratio of 13.58, while PLTR has a forward P/E of 68.38. We also note that VNT has a PEG ratio of 1.25. 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. PLTR currently has a PEG ratio of 2.61.
Another notable valuation metric for VNT is its P/B ratio of 7.37. 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, PLTR has a P/B of 13.89.
These metrics, and several others, help VNT earn a Value grade of A, while PLTR has been given a Value grade of D.
VNT is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that VNT is likely the superior value option right now.