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LCUT or SN: Which Is the Better Value Stock Right Now?

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Investors with an interest in Consumer Products - Discretionary stocks have likely encountered both Lifetime Brands (LCUT - Free Report) and SharkNinja, Inc. (SN - 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.

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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.

Lifetime Brands and SharkNinja, Inc. are sporting Zacks Ranks of #1 (Strong Buy) and #3 (Hold), respectively, right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that LCUT is likely seeing its earnings outlook improve to a greater extent. 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.

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.

LCUT currently has a forward P/E ratio of 7.07, while SN has a forward P/E of 17.48. We also note that LCUT has a PEG ratio of 0.50. 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. SN currently has a PEG ratio of 1.34.

Another notable valuation metric for LCUT is its P/B ratio of 0.48. 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, SN has a P/B of 5.55.

These metrics, and several others, help LCUT earn a Value grade of A, while SN has been given a Value grade of C.

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

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