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PAYO vs. V: Which Stock Should Value Investors Buy Now?
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Investors with an interest in Financial Transaction Services stocks have likely encountered both Payoneer Global Inc. (PAYO - Free Report) and Visa (V - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.
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.
Both Payoneer Global Inc. and Visa have a Zacks Rank of # 2 (Buy) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. But this is just one piece of the puzzle 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 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.
PAYO currently has a forward P/E ratio of 23.23, while V has a forward P/E of 32.11. We also note that PAYO has a PEG ratio of 2.37. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. V currently has a PEG ratio of 2.39.
Another notable valuation metric for PAYO is its P/B ratio of 4.21. 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, V has a P/B of 18.02.
These metrics, and several others, help PAYO earn a Value grade of B, while V has been given a Value grade of D.
Both PAYO and V are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that PAYO is the superior value option right now.
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PAYO vs. V: Which Stock Should Value Investors Buy Now?
Investors with an interest in Financial Transaction Services stocks have likely encountered both Payoneer Global Inc. (PAYO - Free Report) and Visa (V - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.
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.
Both Payoneer Global Inc. and Visa have a Zacks Rank of # 2 (Buy) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. But this is just one piece of the puzzle 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 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.
PAYO currently has a forward P/E ratio of 23.23, while V has a forward P/E of 32.11. We also note that PAYO has a PEG ratio of 2.37. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. V currently has a PEG ratio of 2.39.
Another notable valuation metric for PAYO is its P/B ratio of 4.21. 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, V has a P/B of 18.02.
These metrics, and several others, help PAYO earn a Value grade of B, while V has been given a Value grade of D.
Both PAYO and V are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that PAYO is the superior value option right now.