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PGRE or EGP: Which Is the Better Value Stock Right Now?
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Investors with an interest in REIT and Equity Trust - Other stocks have likely encountered both Paramount Group (PGRE - Free Report) and EastGroup Properties (EGP - 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.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Currently, Paramount Group has a Zacks Rank of #2 (Buy), while EastGroup Properties has a Zacks Rank of #3 (Hold). This means that PGRE's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is only part of the picture for value investors.
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 highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
PGRE currently has a forward P/E ratio of 6.40, while EGP has a forward P/E of 18.75. We also note that PGRE has a PEG ratio of 0.25. 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. EGP currently has a PEG ratio of 2.47.
Another notable valuation metric for PGRE is its P/B ratio of 0.25. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, EGP has a P/B of 2.82.
These are just a few of the metrics contributing to PGRE's Value grade of A and EGP's Value grade of F.
PGRE has seen stronger estimate revision activity and sports more attractive valuation metrics than EGP, so it seems like value investors will conclude that PGRE is the superior option right now.
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PGRE or EGP: Which Is the Better Value Stock Right Now?
Investors with an interest in REIT and Equity Trust - Other stocks have likely encountered both Paramount Group (PGRE - Free Report) and EastGroup Properties (EGP - 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.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Currently, Paramount Group has a Zacks Rank of #2 (Buy), while EastGroup Properties has a Zacks Rank of #3 (Hold). This means that PGRE's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is only part of the picture for value investors.
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 highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.
PGRE currently has a forward P/E ratio of 6.40, while EGP has a forward P/E of 18.75. We also note that PGRE has a PEG ratio of 0.25. 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. EGP currently has a PEG ratio of 2.47.
Another notable valuation metric for PGRE is its P/B ratio of 0.25. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, EGP has a P/B of 2.82.
These are just a few of the metrics contributing to PGRE's Value grade of A and EGP's Value grade of F.
PGRE has seen stronger estimate revision activity and sports more attractive valuation metrics than EGP, so it seems like value investors will conclude that PGRE is the superior option right now.