NNGRY vs. BRP: Which Stock Should Value Investors Buy Now?
Investors interested in Insurance - Life Insurance stocks are likely familiar with NN Group NV Unsponsored ADR (NNGRY) and BRP Group (BRP). 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.
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 puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Currently, both NN Group NV Unsponsored ADR and BRP Group are holding a Zacks Rank of # 2 (Buy). This means that both companies have witnessed positive earnings estimate revisions, so investors should feel comfortable knowing that both of these stocks have an improving earnings outlook. But this is just one factor that value investors are interested in.
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.
NNGRY currently has a forward P/E ratio of 4.94, while BRP has a forward P/E of 15.62. We also note that NNGRY has a PEG ratio of 0.38. 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. BRP currently has a PEG ratio of 0.61.
Another notable valuation metric for NNGRY is its P/B ratio of 0.63. 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, BRP has a P/B of 2.71.
These metrics, and several others, help NNGRY earn a Value grade of A, while BRP has been given a Value grade of D.
Both NNGRY and BRP are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that NNGRY is the superior value option right now.
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NN Group NV Unsponsored ADR (NNGRY) : Free Stock Analysis Report
BRP Group, Inc. (BRP) : Free Stock Analysis Report
