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MEET vs. WDAY: Which Stock Should Value Investors Buy Now?
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Investors interested in Internet - Software stocks are likely familiar with Meet Group and Workday (WDAY - 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.
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 emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, Meet Group is sporting a Zacks Rank of #2 (Buy), while Workday has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that MEET has an improving earnings outlook. But this is just one factor that value investors are interested in.
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 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.
MEET currently has a forward P/E ratio of 11.41, while WDAY has a forward P/E of 127.14. We also note that MEET has a PEG ratio of 0.57. 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. WDAY currently has a PEG ratio of 4.76.
Another notable valuation metric for MEET is its P/B ratio of 1.50. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, WDAY has a P/B of 16.57.
These metrics, and several others, help MEET earn a Value grade of B, while WDAY has been given a Value grade of F.
MEET has seen stronger estimate revision activity and sports more attractive valuation metrics than WDAY, so it seems like value investors will conclude that MEET is the superior option right now.
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MEET vs. WDAY: Which Stock Should Value Investors Buy Now?
Investors interested in Internet - Software stocks are likely familiar with Meet Group and Workday (WDAY - 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.
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 emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, Meet Group is sporting a Zacks Rank of #2 (Buy), while Workday has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that MEET has an improving earnings outlook. But this is just one factor that value investors are interested in.
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 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.
MEET currently has a forward P/E ratio of 11.41, while WDAY has a forward P/E of 127.14. We also note that MEET has a PEG ratio of 0.57. 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. WDAY currently has a PEG ratio of 4.76.
Another notable valuation metric for MEET is its P/B ratio of 1.50. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, WDAY has a P/B of 16.57.
These metrics, and several others, help MEET earn a Value grade of B, while WDAY has been given a Value grade of F.
MEET has seen stronger estimate revision activity and sports more attractive valuation metrics than WDAY, so it seems like value investors will conclude that MEET is the superior option right now.