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BCOR or TRI: Which Is the Better Value Stock Right Now?
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Investors with an interest in Technology Services stocks have likely encountered both Blucora and Thomson Reuters (TRI - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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.
Blucora and Thomson Reuters are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. This means that BCOR's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. 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 Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
BCOR currently has a forward P/E ratio of 5.91, while TRI has a forward P/E of 36.66. We also note that BCOR has a PEG ratio of 0.30. 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. TRI currently has a PEG ratio of 2.92.
Another notable valuation metric for BCOR is its P/B ratio of 1.04. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, TRI has a P/B of 3.67.
These are just a few of the metrics contributing to BCOR's Value grade of B and TRI's Value grade of D.
BCOR stands above TRI thanks to its solid earnings outlook, and based on these valuation figures, we also feel that BCOR is the superior value option right now.
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BCOR or TRI: Which Is the Better Value Stock Right Now?
Investors with an interest in Technology Services stocks have likely encountered both Blucora and Thomson Reuters (TRI - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's 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.
Blucora and Thomson Reuters are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. This means that BCOR's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. 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 Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
BCOR currently has a forward P/E ratio of 5.91, while TRI has a forward P/E of 36.66. We also note that BCOR has a PEG ratio of 0.30. 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. TRI currently has a PEG ratio of 2.92.
Another notable valuation metric for BCOR is its P/B ratio of 1.04. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, TRI has a P/B of 3.67.
These are just a few of the metrics contributing to BCOR's Value grade of B and TRI's Value grade of D.
BCOR stands above TRI thanks to its solid earnings outlook, and based on these valuation figures, we also feel that BCOR is the superior value option right now.