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MMSI vs. CNMD: Which Stock Is the Better Value Option?
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Investors looking for stocks in the Medical - Dental Supplies sector might want to consider either Merit Medical (MMSI - Free Report) or Conmed (CNMD - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Right now, Merit Medical is sporting a Zacks Rank of #2 (Buy), while Conmed has a Zacks Rank of #4 (Sell). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that MMSI is likely seeing its earnings outlook improve to a greater extent. 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.
MMSI currently has a forward P/E ratio of 21.50, while CNMD has a forward P/E of 22.92. We also note that MMSI has a PEG ratio of 1.78. 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. CNMD currently has a PEG ratio of 1.85.
Another notable valuation metric for MMSI is its P/B ratio of 1.94. 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, CNMD has a P/B of 2.66.
These are just a few of the metrics contributing to MMSI's Value grade of B and CNMD's Value grade of D.
MMSI has seen stronger estimate revision activity and sports more attractive valuation metrics than CNMD, so it seems like value investors will conclude that MMSI is the superior option right now.
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MMSI vs. CNMD: Which Stock Is the Better Value Option?
Investors looking for stocks in the Medical - Dental Supplies sector might want to consider either Merit Medical (MMSI - Free Report) or Conmed (CNMD - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Right now, Merit Medical is sporting a Zacks Rank of #2 (Buy), while Conmed has a Zacks Rank of #4 (Sell). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that MMSI is likely seeing its earnings outlook improve to a greater extent. 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.
MMSI currently has a forward P/E ratio of 21.50, while CNMD has a forward P/E of 22.92. We also note that MMSI has a PEG ratio of 1.78. 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. CNMD currently has a PEG ratio of 1.85.
Another notable valuation metric for MMSI is its P/B ratio of 1.94. 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, CNMD has a P/B of 2.66.
These are just a few of the metrics contributing to MMSI's Value grade of B and CNMD's Value grade of D.
MMSI has seen stronger estimate revision activity and sports more attractive valuation metrics than CNMD, so it seems like value investors will conclude that MMSI is the superior option right now.