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Investors interested in Oil and Gas - Integrated - International stocks are likely familiar with OMV AG (OMVKY) and Fuchs Petrolub SE Unsponsored ADR (FUPBY). 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.
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 Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
OMV AG and Fuchs Petrolub SE Unsponsored ADR are sporting Zacks Ranks of #1 (Strong Buy) and #3 (Hold), respectively, right now. Investors should feel comfortable knowing that OMVKY likely has seen a stronger improvement to its earnings outlook than FUPBY has recently. 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.
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.
OMVKY currently has a forward P/E ratio of 6.41, while FUPBY has a forward P/E of 18.64. We also note that OMVKY has a PEG ratio of 0.81. 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. FUPBY currently has a PEG ratio of 2.22.
Another notable valuation metric for OMVKY is its P/B ratio of 0.50. 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, FUPBY has a P/B of 3.66.
These metrics, and several others, help OMVKY earn a Value grade of A, while FUPBY has been given a Value grade of D.
OMVKY has seen stronger estimate revision activity and sports more attractive valuation metrics than FUPBY, so it seems like value investors will conclude that OMVKY is the superior option right now.
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OMV AG (OMVKY) : Free Stock Analysis Report
Fuchs Petrolub SE Unsponsored ADR (FUPBY) : Free Stock Analysis Report