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JAMF vs. AMPL: Which Stock Is the Better Value Option?

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Investors interested in Technology Services stocks are likely familiar with Jamf Holding (JAMF - Free Report) and Amplitude, Inc. (AMPL - 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 puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.

Jamf Holding and Amplitude, Inc. are sporting Zacks Ranks of #2 (Buy) and #4 (Sell), respectively, right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that JAMF has an improving earnings outlook. But this is only part of the picture for value investors.

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.

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.

JAMF currently has a forward P/E ratio of 13.14, while AMPL has a forward P/E of 103.93. We also note that JAMF has a PEG ratio of 0.76. 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. AMPL currently has a PEG ratio of 2.50.

Another notable valuation metric for JAMF is its P/B ratio of 2.21. 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, AMPL has a P/B of 5.93.

These metrics, and several others, help JAMF earn a Value grade of B, while AMPL has been given a Value grade of F.

JAMF sticks out from AMPL in both our Zacks Rank and Style Scores models, so value investors will likely feel that JAMF is the better option right now.


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Jamf Holding Corp. (JAMF) - free report >>

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