NNGRY vs. BRP: Which Stock Should Value Investors Buy Now?
Investors looking for stocks in the Insurance - Life Insurance sector might want to consider either NN Group NV Unsponsored ADR (NNGRY) or BRP Group (BRP). But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.
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 proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
NN Group NV Unsponsored ADR has a Zacks Rank of #2 (Buy), while BRP Group has a Zacks Rank of #3 (Hold) right now. Investors should feel comfortable knowing that NNGRY likely has seen a stronger improvement to its earnings outlook than BRP has recently. But this is just one piece of the puzzle 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.
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.
NNGRY currently has a forward P/E ratio of 10.60, while BRP has a forward P/E of 22.36. We also note that NNGRY has a PEG ratio of 0.38. 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. BRP currently has a PEG ratio of 0.80.
Another notable valuation metric for NNGRY is its P/B ratio of 0.61. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, BRP has a P/B of 2.82.
Based on these metrics and many more, NNGRY holds a Value grade of A, while BRP has a Value grade of D.
NNGRY sticks out from BRP in both our Zacks Rank and Style Scores models, so value investors will likely feel that NNGRY is the better option right now.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
NN Group NV Unsponsored ADR (NNGRY) : Free Stock Analysis Report
BRP Group, Inc. (BRP) : Free Stock Analysis Report
