We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
BYD vs. TTWO: Which Stock Is the Better Value Option?
Read MoreHide Full Article
Investors with an interest in Gaming stocks have likely encountered both Boyd Gaming (BYD - Free Report) and Take-Two Interactive (TTWO - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Boyd Gaming and Take-Two Interactive are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. Investors should feel comfortable knowing that BYD likely has seen a stronger improvement to its earnings outlook than TTWO has recently. However, value investors will care about much more than just this.
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.
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.
BYD currently has a forward P/E ratio of 11.46, while TTWO has a forward P/E of 78.35. We also note that BYD has a PEG ratio of 2.18. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. TTWO currently has a PEG ratio of 2.27.
Another notable valuation metric for BYD is its P/B ratio of 2.59. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, TTWO has a P/B of 13.85.
These metrics, and several others, help BYD earn a Value grade of A, while TTWO has been given a Value grade of F.
BYD sticks out from TTWO in both our Zacks Rank and Style Scores models, so value investors will likely feel that BYD is the better option right now.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
BYD vs. TTWO: Which Stock Is the Better Value Option?
Investors with an interest in Gaming stocks have likely encountered both Boyd Gaming (BYD - Free Report) and Take-Two Interactive (TTWO - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Boyd Gaming and Take-Two Interactive are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. Investors should feel comfortable knowing that BYD likely has seen a stronger improvement to its earnings outlook than TTWO has recently. However, value investors will care about much more than just this.
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.
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.
BYD currently has a forward P/E ratio of 11.46, while TTWO has a forward P/E of 78.35. We also note that BYD has a PEG ratio of 2.18. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. TTWO currently has a PEG ratio of 2.27.
Another notable valuation metric for BYD is its P/B ratio of 2.59. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, TTWO has a P/B of 13.85.
These metrics, and several others, help BYD earn a Value grade of A, while TTWO has been given a Value grade of F.
BYD sticks out from TTWO in both our Zacks Rank and Style Scores models, so value investors will likely feel that BYD is the better option right now.