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NHYDY or NGLOY: Which Is the Better Value Stock Right Now?
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Investors looking for stocks in the Mining - Miscellaneous sector might want to consider either Norsk Hydro ASA (NHYDY - Free Report) or Anglo American (NGLOY - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Right now, Norsk Hydro ASA is sporting a Zacks Rank of #2 (Buy), while Anglo American has a Zacks Rank of #3 (Hold). This means that NHYDY's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. However, value investors will care about much more than just this.
Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its 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.
NHYDY currently has a forward P/E ratio of 13.40, while NGLOY has a forward P/E of 35.82. We also note that NHYDY has a PEG ratio of 0.35. 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. NGLOY currently has a PEG ratio of 3.74.
Another notable valuation metric for NHYDY is its P/B ratio of 1.35. 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, NGLOY has a P/B of 1.83.
Based on these metrics and many more, NHYDY holds a Value grade of A, while NGLOY has a Value grade of C.
NHYDY sticks out from NGLOY in both our Zacks Rank and Style Scores models, so value investors will likely feel that NHYDY is the better option right now.
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NHYDY or NGLOY: Which Is the Better Value Stock Right Now?
Investors looking for stocks in the Mining - Miscellaneous sector might want to consider either Norsk Hydro ASA (NHYDY - Free Report) or Anglo American (NGLOY - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Right now, Norsk Hydro ASA is sporting a Zacks Rank of #2 (Buy), while Anglo American has a Zacks Rank of #3 (Hold). This means that NHYDY's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. However, value investors will care about much more than just this.
Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its 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.
NHYDY currently has a forward P/E ratio of 13.40, while NGLOY has a forward P/E of 35.82. We also note that NHYDY has a PEG ratio of 0.35. 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. NGLOY currently has a PEG ratio of 3.74.
Another notable valuation metric for NHYDY is its P/B ratio of 1.35. 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, NGLOY has a P/B of 1.83.
Based on these metrics and many more, NHYDY holds a Value grade of A, while NGLOY has a Value grade of C.
NHYDY sticks out from NGLOY in both our Zacks Rank and Style Scores models, so value investors will likely feel that NHYDY is the better option right now.