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VCTR or OAK: Which Is the Better Value Stock Right Now?
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Investors interested in Financial - Investment Management stocks are likely familiar with Victory Capital Holdings (VCTR - Free Report) and Oaktree Capital Group, LLC . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Victory Capital Holdings and Oaktree Capital Group, LLC are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that VCTR has an improving earnings outlook. But this is just one piece of the puzzle 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 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.
VCTR currently has a forward P/E ratio of 4.84, while OAK has a forward P/E of 16.09. We also note that VCTR has a PEG ratio of 0.43. 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. OAK currently has a PEG ratio of 1.07.
Another notable valuation metric for VCTR is its P/B ratio of 1.30. 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, OAK has a P/B of 3.38.
Based on these metrics and many more, VCTR holds a Value grade of A, while OAK has a Value grade of D.
VCTR stands above OAK thanks to its solid earnings outlook, and based on these valuation figures, we also feel that VCTR is the superior value option right now.
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VCTR or OAK: Which Is the Better Value Stock Right Now?
Investors interested in Financial - Investment Management stocks are likely familiar with Victory Capital Holdings (VCTR - Free Report) and Oaktree Capital Group, LLC . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Victory Capital Holdings and Oaktree Capital Group, LLC are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that VCTR has an improving earnings outlook. But this is just one piece of the puzzle 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 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.
VCTR currently has a forward P/E ratio of 4.84, while OAK has a forward P/E of 16.09. We also note that VCTR has a PEG ratio of 0.43. 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. OAK currently has a PEG ratio of 1.07.
Another notable valuation metric for VCTR is its P/B ratio of 1.30. 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, OAK has a P/B of 3.38.
Based on these metrics and many more, VCTR holds a Value grade of A, while OAK has a Value grade of D.
VCTR stands above OAK thanks to its solid earnings outlook, and based on these valuation figures, we also feel that VCTR is the superior value option right now.