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.
DOLE or CTVA: Which Is the Better Value Stock Right Now?
Read MoreHide Full Article
Investors interested in Agriculture - Operations stocks are likely familiar with Dole (DOLE - Free Report) and Corteva, Inc. (CTVA - 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, Dole has a Zacks Rank of #2 (Buy), while Corteva, Inc. has a Zacks Rank of #3 (Hold). This means that DOLE's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is only part of the picture for value investors.
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 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.
DOLE currently has a forward P/E ratio of 9.81, while CTVA has a forward P/E of 22.53. We also note that DOLE has a PEG ratio of 1.44. 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. CTVA currently has a PEG ratio of 2.58.
Another notable valuation metric for DOLE is its P/B ratio of 0.91. 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, CTVA has a P/B of 2.2.
These are just a few of the metrics contributing to DOLE's Value grade of A and CTVA's Value grade of D.
DOLE has seen stronger estimate revision activity and sports more attractive valuation metrics than CTVA, so it seems like value investors will conclude that DOLE is the superior option right now.
View the Zacks #1 Rank List
Image: Bigstock
DOLE or CTVA: Which Is the Better Value Stock Right Now?
Investors interested in Agriculture - Operations stocks are likely familiar with Dole (DOLE - Free Report) and Corteva, Inc. (CTVA - 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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Currently, Dole has a Zacks Rank of #2 (Buy), while Corteva, Inc. has a Zacks Rank of #3 (Hold). This means that DOLE's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is only part of the picture for value investors.
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 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.
DOLE currently has a forward P/E ratio of 9.81, while CTVA has a forward P/E of 22.53. We also note that DOLE has a PEG ratio of 1.44. 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. CTVA currently has a PEG ratio of 2.58.
Another notable valuation metric for DOLE is its P/B ratio of 0.91. 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, CTVA has a P/B of 2.2.
These are just a few of the metrics contributing to DOLE's Value grade of A and CTVA's Value grade of D.
DOLE has seen stronger estimate revision activity and sports more attractive valuation metrics than CTVA, so it seems like value investors will conclude that DOLE is the superior option right now.