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MBUU vs. POOL: Which Stock Is the Better Value Option?
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Investors interested in Leisure and Recreation Products stocks are likely familiar with Malibu Boats (MBUU - Free Report) and Pool Corp. (POOL - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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.
Malibu Boats and Pool Corp. are both sporting a Zacks Rank of # 2 (Buy) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. 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.
MBUU currently has a forward P/E ratio of 11.24, while POOL has a forward P/E of 24.40. We also note that MBUU has a PEG ratio of 0.75. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. POOL currently has a PEG ratio of 1.04.
Another notable valuation metric for MBUU is its P/B ratio of 5.17. 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, POOL has a P/B of 16.16.
Based on these metrics and many more, MBUU holds a Value grade of A, while POOL has a Value grade of C.
Both MBUU and POOL are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that MBUU is the superior value option right now.
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MBUU vs. POOL: Which Stock Is the Better Value Option?
Investors interested in Leisure and Recreation Products stocks are likely familiar with Malibu Boats (MBUU - Free Report) and Pool Corp. (POOL - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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.
Malibu Boats and Pool Corp. are both sporting a Zacks Rank of # 2 (Buy) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. 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.
MBUU currently has a forward P/E ratio of 11.24, while POOL has a forward P/E of 24.40. We also note that MBUU has a PEG ratio of 0.75. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. POOL currently has a PEG ratio of 1.04.
Another notable valuation metric for MBUU is its P/B ratio of 5.17. 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, POOL has a P/B of 16.16.
Based on these metrics and many more, MBUU holds a Value grade of A, while POOL has a Value grade of C.
Both MBUU and POOL are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that MBUU is the superior value option right now.