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GEN or ZETA: Which Is the Better Value Stock Right Now?
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Investors with an interest in Technology Services stocks have likely encountered both Gen Digital (GEN - Free Report) and Zeta Global Holdings (ZETA - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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 proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Gen Digital has a Zacks Rank of #2 (Buy), while Zeta Global Holdings has a Zacks Rank of #3 (Hold) right now. Investors should feel comfortable knowing that GEN likely has seen a stronger improvement to its earnings outlook than ZETA has recently. But this is just one piece of the puzzle for value investors.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their current share price levels.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
GEN currently has a forward P/E ratio of 10.65, while ZETA has a forward P/E of 31.67. We also note that GEN has a PEG ratio of 0.89. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. ZETA currently has a PEG ratio of 0.93.
Another notable valuation metric for GEN is its P/B ratio of 6.99. 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, ZETA has a P/B of 8.39.
Based on these metrics and many more, GEN holds a Value grade of B, while ZETA has a Value grade of D.
GEN is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that GEN is likely the superior value option right now.
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GEN or ZETA: Which Is the Better Value Stock Right Now?
Investors with an interest in Technology Services stocks have likely encountered both Gen Digital (GEN - Free Report) and Zeta Global Holdings (ZETA - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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 proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Gen Digital has a Zacks Rank of #2 (Buy), while Zeta Global Holdings has a Zacks Rank of #3 (Hold) right now. Investors should feel comfortable knowing that GEN likely has seen a stronger improvement to its earnings outlook than ZETA has recently. But this is just one piece of the puzzle for value investors.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their current share price levels.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
GEN currently has a forward P/E ratio of 10.65, while ZETA has a forward P/E of 31.67. We also note that GEN has a PEG ratio of 0.89. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. ZETA currently has a PEG ratio of 0.93.
Another notable valuation metric for GEN is its P/B ratio of 6.99. 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, ZETA has a P/B of 8.39.
Based on these metrics and many more, GEN holds a Value grade of B, while ZETA has a Value grade of D.
GEN is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that GEN is likely the superior value option right now.