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DB vs. NABZY: Which Stock Is the Better Value Option?
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Investors interested in stocks from the Banks - Foreign sector have probably already heard of Deutsche Bank (DB - Free Report) and National Australia Bank Ltd. (NABZY - 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.
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.
Both Deutsche Bank and National Australia Bank Ltd. have a Zacks Rank of #2 (Buy) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. However, value investors will care about much more than just this.
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 Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
DB currently has a forward P/E ratio of 9.44, while NABZY has a forward P/E of 17.81. We also note that DB has a PEG ratio of 0.36. 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. NABZY currently has a PEG ratio of 6.25.
Another notable valuation metric for DB is its P/B ratio of 0.82. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, NABZY has a P/B of 2.1.
These are just a few of the metrics contributing to DB's Value grade of A and NABZY's Value grade of C.
Both DB and NABZY are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that DB is the superior value option right now.
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DB vs. NABZY: Which Stock Is the Better Value Option?
Investors interested in stocks from the Banks - Foreign sector have probably already heard of Deutsche Bank (DB - Free Report) and National Australia Bank Ltd. (NABZY - 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.
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.
Both Deutsche Bank and National Australia Bank Ltd. have a Zacks Rank of #2 (Buy) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. However, value investors will care about much more than just this.
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 Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
DB currently has a forward P/E ratio of 9.44, while NABZY has a forward P/E of 17.81. We also note that DB has a PEG ratio of 0.36. 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. NABZY currently has a PEG ratio of 6.25.
Another notable valuation metric for DB is its P/B ratio of 0.82. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, NABZY has a P/B of 2.1.
These are just a few of the metrics contributing to DB's Value grade of A and NABZY's Value grade of C.
Both DB and NABZY are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that DB is the superior value option right now.