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BSBR vs. EBKDY: Which Stock Is the Better Value Option?
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Investors with an interest in Banks - Foreign stocks have likely encountered both Banco Santander-Brazil (BSBR - Free Report) and Erste Group Bank AG (EBKDY - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? 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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Both Banco Santander-Brazil and Erste Group Bank AG have a Zacks Rank of #2 (Buy) right now. Investors should feel comfortable knowing that both of these stocks have an improving earnings outlook since the Zacks Rank favors companies that have witnessed positive analyst estimate revisions. 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.
BSBR currently has a forward P/E ratio of 7.59, while EBKDY has a forward P/E of 11.01. We also note that BSBR has a PEG ratio of 0.67. 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. EBKDY currently has a PEG ratio of 0.83.
Another notable valuation metric for BSBR is its P/B ratio of 0.96. 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, EBKDY has a P/B of 1.08.
These are just a few of the metrics contributing to BSBR's Value grade of B and EBKDY's Value grade of C.
Both BSBR and EBKDY are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that BSBR is the superior value option right now.
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BSBR vs. EBKDY: Which Stock Is the Better Value Option?
Investors with an interest in Banks - Foreign stocks have likely encountered both Banco Santander-Brazil (BSBR - Free Report) and Erste Group Bank AG (EBKDY - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? 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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Both Banco Santander-Brazil and Erste Group Bank AG have a Zacks Rank of #2 (Buy) right now. Investors should feel comfortable knowing that both of these stocks have an improving earnings outlook since the Zacks Rank favors companies that have witnessed positive analyst estimate revisions. 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.
BSBR currently has a forward P/E ratio of 7.59, while EBKDY has a forward P/E of 11.01. We also note that BSBR has a PEG ratio of 0.67. 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. EBKDY currently has a PEG ratio of 0.83.
Another notable valuation metric for BSBR is its P/B ratio of 0.96. 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, EBKDY has a P/B of 1.08.
These are just a few of the metrics contributing to BSBR's Value grade of B and EBKDY's Value grade of C.
Both BSBR and EBKDY are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that BSBR is the superior value option right now.