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FUPBY vs. RPM: Which Stock Is the Better Value Option?

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Investors looking for stocks in the Chemical - Specialty sector might want to consider either FUCHS SE - Unsponsored ADR (FUPBY - Free Report) or RPM International (RPM - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.

Right now, FUCHS SE - Unsponsored ADR is sporting a Zacks Rank of #2 (Buy), while RPM International has a Zacks Rank of #4 (Sell). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that FUPBY has an improving earnings outlook. 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.

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.

FUPBY currently has a forward P/E ratio of 17.87, while RPM has a forward P/E of 21.44. We also note that FUPBY has a PEG ratio of 2.06. 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. RPM currently has a PEG ratio of 3.48.

Another notable valuation metric for FUPBY is its P/B ratio of 3.43. 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, RPM has a P/B of 5.31.

Based on these metrics and many more, FUPBY holds a Value grade of B, while RPM has a Value grade of D.

FUPBY sticks out from RPM in both our Zacks Rank and Style Scores models, so value investors will likely feel that FUPBY is the better option right now.


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RPM International Inc. (RPM) - free report >>

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