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DANOY or MDLZ: Which Is the Better Value Stock Right Now?
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Investors interested in stocks from the Food - Miscellaneous sector have probably already heard of Danone (DANOY - Free Report) and Mondelez (MDLZ - 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.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great 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.
Danone and Mondelez are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. This means that DANOY's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one piece of the puzzle for value investors.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies 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.
DANOY currently has a forward P/E ratio of 15.86, while MDLZ has a forward P/E of 20.47. We also note that DANOY has a PEG ratio of 2.42. 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. MDLZ currently has a PEG ratio of 2.44.
Another notable valuation metric for DANOY is its P/B ratio of 2.38. 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, MDLZ has a P/B of 2.99.
These metrics, and several others, help DANOY earn a Value grade of B, while MDLZ has been given a Value grade of D.
DANOY sticks out from MDLZ in both our Zacks Rank and Style Scores models, so value investors will likely feel that DANOY is the better option right now.
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DANOY or MDLZ: Which Is the Better Value Stock Right Now?
Investors interested in stocks from the Food - Miscellaneous sector have probably already heard of Danone (DANOY - Free Report) and Mondelez (MDLZ - 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.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great 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.
Danone and Mondelez are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. This means that DANOY's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one piece of the puzzle for value investors.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies 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.
DANOY currently has a forward P/E ratio of 15.86, while MDLZ has a forward P/E of 20.47. We also note that DANOY has a PEG ratio of 2.42. 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. MDLZ currently has a PEG ratio of 2.44.
Another notable valuation metric for DANOY is its P/B ratio of 2.38. 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, MDLZ has a P/B of 2.99.
These metrics, and several others, help DANOY earn a Value grade of B, while MDLZ has been given a Value grade of D.
DANOY sticks out from MDLZ in both our Zacks Rank and Style Scores models, so value investors will likely feel that DANOY is the better option right now.