Yahoo Finance NVEE vs. PLTR: Which Stock Is the Better Value Option?
Investors looking for stocks in the Technology Services sector might want to consider either NV5 Global (NVEE) or Palantir Technologies Inc. (PLTR). 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.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great 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.
Currently, NV5 Global has a Zacks Rank of #2 (Buy), while Palantir Technologies Inc. has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that NVEE likely has seen a stronger improvement to its earnings outlook than PLTR has recently. However, value investors will care about much more than just this.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their 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.
NVEE currently has a forward P/E ratio of 18.95, while PLTR has a forward P/E of 63.70. We also note that NVEE has a PEG ratio of 1.20. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. PLTR currently has a PEG ratio of 2.35.
Another notable valuation metric for NVEE is its P/B ratio of 1.96. 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, PLTR has a P/B of 12.
Based on these metrics and many more, NVEE holds a Value grade of A, while PLTR has a Value grade of D.
NVEE is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that NVEE is likely the superior value option right now.
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NV5 Global, Inc. (NVEE) : Free Stock Analysis Report
Palantir Technologies Inc. (PLTR) : Free Stock Analysis Report
