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INGR vs. DANOY: Which Stock Is the Better Value Option?
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Investors interested in Food - Miscellaneous stocks are likely familiar with Ingredion (INGR - Free Report) and Danone (DANOY - 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, Ingredion is sporting a Zacks Rank of #2 (Buy), while Danone has a Zacks Rank of #3 (Hold). This means that INGR'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 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 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.
INGR currently has a forward P/E ratio of 11.17, while DANOY has a forward P/E of 20.43. We also note that INGR has a PEG ratio of 1.02. 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. DANOY currently has a PEG ratio of 5.12.
Another notable valuation metric for INGR is its P/B ratio of 1.93. 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, DANOY has a P/B of 3.1.
These are just a few of the metrics contributing to INGR's Value grade of A and DANOY's Value grade of C.
INGR sticks out from DANOY in both our Zacks Rank and Style Scores models, so value investors will likely feel that INGR is the better option right now.
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INGR vs. DANOY: Which Stock Is the Better Value Option?
Investors interested in Food - Miscellaneous stocks are likely familiar with Ingredion (INGR - Free Report) and Danone (DANOY - 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, Ingredion is sporting a Zacks Rank of #2 (Buy), while Danone has a Zacks Rank of #3 (Hold). This means that INGR'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 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 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.
INGR currently has a forward P/E ratio of 11.17, while DANOY has a forward P/E of 20.43. We also note that INGR has a PEG ratio of 1.02. 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. DANOY currently has a PEG ratio of 5.12.
Another notable valuation metric for INGR is its P/B ratio of 1.93. 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, DANOY has a P/B of 3.1.
These are just a few of the metrics contributing to INGR's Value grade of A and DANOY's Value grade of C.
INGR sticks out from DANOY in both our Zacks Rank and Style Scores models, so value investors will likely feel that INGR is the better option right now.