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VNT vs. SYM: Which Stock Is the Better Value Option?

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Investors interested in stocks from the Technology Services sector have probably already heard of Vontier Corporation (VNT - Free Report) and Symbotic Inc. (SYM - 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 proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.

Vontier Corporation and Symbotic Inc. are sporting Zacks Ranks of #2 (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 VNT 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.

VNT currently has a forward P/E ratio of 10.36, while SYM has a forward P/E of 107.46. We also note that VNT has a PEG ratio of 1.36. 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. SYM currently has a PEG ratio of 3.58.

Another notable valuation metric for VNT is its P/B ratio of 4. 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, SYM has a P/B of 32.22.

Based on these metrics and many more, VNT holds a Value grade of A, while SYM has a Value grade of F.

VNT has seen stronger estimate revision activity and sports more attractive valuation metrics than SYM, so it seems like value investors will conclude that VNT is the superior option right now.

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