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J vs. AMADY: Which Stock Is the Better Value Option?
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Investors interested in Technology Services stocks are likely familiar with Jacobs Solutions (J - Free Report) and Amadeus IT Group SA Unsponsored ADR (AMADY - 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.
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 emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Currently, Jacobs Solutions has a Zacks Rank of #2 (Buy), while Amadeus IT Group SA Unsponsored ADR has a Zacks Rank of #3 (Hold). This means that J'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 analyze a variety of traditional, tried-and-true metrics to help find companies 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.
J currently has a forward P/E ratio of 21.86, while AMADY has a forward P/E of 22.20. We also note that J has a PEG ratio of 1.80. 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. AMADY currently has a PEG ratio of 3.65.
Another notable valuation metric for J is its P/B ratio of 4.76. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, AMADY has a P/B of 6.21.
Based on these metrics and many more, J holds a Value grade of B, while AMADY has a Value grade of D.
J sticks out from AMADY in both our Zacks Rank and Style Scores models, so value investors will likely feel that J is the better option right now.
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J vs. AMADY: Which Stock Is the Better Value Option?
Investors interested in Technology Services stocks are likely familiar with Jacobs Solutions (J - Free Report) and Amadeus IT Group SA Unsponsored ADR (AMADY - 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.
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 emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Currently, Jacobs Solutions has a Zacks Rank of #2 (Buy), while Amadeus IT Group SA Unsponsored ADR has a Zacks Rank of #3 (Hold). This means that J'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 analyze a variety of traditional, tried-and-true metrics to help find companies 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.
J currently has a forward P/E ratio of 21.86, while AMADY has a forward P/E of 22.20. We also note that J has a PEG ratio of 1.80. 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. AMADY currently has a PEG ratio of 3.65.
Another notable valuation metric for J is its P/B ratio of 4.76. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, AMADY has a P/B of 6.21.
Based on these metrics and many more, J holds a Value grade of B, while AMADY has a Value grade of D.
J sticks out from AMADY in both our Zacks Rank and Style Scores models, so value investors will likely feel that J is the better option right now.