Investors interested in Electronics - Miscellaneous Products stocks are likely familiar with Daikin Industries (DKILY) and Hoya Corp. (HOCPY) . But which of these two stocks presents investors with the better value opportunity right now? Let's 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 highli ...

Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. DKILY has a P/S ratio of 1.15. This compares to its industry's average P/S of 1.35. These are only a few of the key metrics included in Daikin Industries's strong Value grade, but they help show that the stock is likely undervalued righ ...

Group 1 - Lam Research (LRCX) is currently outperforming the Computer and Technology sector with a year-to-date return of approximately 2.3%, while the sector has an average return of -8% [4] - The Zacks Rank for Lam Research is 2 (Buy), indicating a positive earnings outlook, with the consensus estimate for full-year earnings having increased by 7.5% over the past 90 days [3] - Lam Research belongs to the Electronics - Semiconductors industry, which has seen a decline of about 13.1% year-to-date, further highlighting LRCX's strong performance relative to its peers [5] Group 2 - The Computer and Technology sector includes 608 individual stocks and currently holds a Zacks Sector Rank of 8, reflecting the average performance of stocks within this group [2] - Another stock in the sector, Daikin Industries (DKILY), has also outperformed with a year-to-date return of 3.2% and a Zacks Rank of 2 (Buy) [4][5] - The Electronics - Miscellaneous Products industry, to which Daikin Industries belongs, is ranked 143 and has experienced a decline of -6.2% year-to-date [6]

Core Viewpoint - Investors in the Electronics - Miscellaneous Products sector should consider Daikin Industries (DKILY) and Garmin (GRMN) as potential value investment opportunities, with DKILY appearing to be the more attractive option based on valuation metrics [1][7]. Valuation Metrics - Both DKILY and GRMN currently hold a Zacks Rank of 2 (Buy), indicating a positive earnings outlook due to favorable analyst estimate revisions [3]. - DKILY has a forward P/E ratio of 16.49, while GRMN has a higher forward P/E of 22.33, suggesting DKILY may be undervalued relative to GRMN [5]. - The PEG ratio for DKILY is 1.78, compared to GRMN's PEG ratio of 1.97, indicating that DKILY offers better value when considering expected earnings growth [5]. - DKILY's P/B ratio is 1.64, significantly lower than GRMN's P/B ratio of 4.43, further supporting DKILY's stronger valuation profile [6]. - Based on these valuation metrics, DKILY earns a Value grade of A, while GRMN receives a Value grade of D, highlighting DKILY as the superior value option [6].

Financial Performance - Net sales reached 3,5932 billion yen, a 110% year-over-year increase[4,6] - Operating profit was 3187 billion yen, representing a 104% increase year-over-year[4,6] - Profit attributable to owners of parent decreased to 1867 billion yen, a 96% year-over-year change[4] - The Air Conditioning and Refrigeration Equipment segment saw net sales of 3,3358 billion yen, a 111% increase year-over-year, and operating profit of 2843 billion yen, a 108% increase[6] - The Chemicals segment experienced net sales of 1888 billion yen, a 100% year-over-year change, but operating profit decreased to 327 billion yen, an 84% year-over-year change[6] Regional Sales (Air Conditioning and Refrigeration Equipment) - Japan's net sales increased to 4783 billion yen, a 109% year-over-year increase[10] - Europe's net sales increased to 5100 billion yen, a 107% year-over-year increase[10] - China's net sales decreased to 3652 billion yen, a 94% year-over-year change[10] - Americas' net sales increased to 1,3609 billion yen, a 116% year-over-year increase[10] - Asia's net sales increased to 3972 billion yen, a 121% year-over-year increase[10] Regional Sales (Chemicals) - Japan's net sales increased to 510 billion yen, a 102% year-over-year increase[11] - Americas' net sales decreased to 269 billion yen, a 78% year-over-year change[11] - China's net sales increased to 484 billion yen, a 115% year-over-year increase[11] - Europe's net sales decreased to 374 billion yen, a 99% year-over-year change[11] Factors Affecting Operating Profit - Foreign exchange contributed a positive impact of 135 billion yen to the overall operating profit[4,8] - Raw material costs (including logistics) had a negative impact of 380 billion yen[8] - Fixed costs, etc, had a negative impact of 430 billion yen[8] - Sales expansion contributed a positive impact of 183 billion yen[8] - Selling price measures contributed a positive impact of 210 billion yen[8] - Cost reductions contributed a positive impact of 405 billion yen[8]

Core Insights - Investors in the Electronics - Miscellaneous Products sector may consider Daikin Industries (DKILY) and Hoya Corp. (HOCPY) as potential value opportunities [1] - Both companies currently hold a Zacks Rank of 2 (Buy), indicating positive earnings estimate revisions and an improving earnings outlook [3] Valuation Metrics - DKILY has a forward P/E ratio of 22.16, while HOCPY has a higher forward P/E of 40.73 [5] - The PEG ratio for DKILY is 2.14, compared to HOCPY's PEG ratio of 2.88, suggesting DKILY may offer better value relative to its expected earnings growth [5] - DKILY's P/B ratio is 2.18, significantly lower than HOCPY's P/B ratio of 7.76, indicating DKILY is more undervalued based on book value [6] Value Grades - DKILY has a Value grade of B, while HOCPY has a Value grade of D, highlighting DKILY as the superior value option based on current valuation figures [6]

Group 1 - Daikin Industries (DKILY) has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while Trimble Navigation (TRMB) has a Zacks Rank of 3 (Hold) [3] - DKILY has a forward P/E ratio of 19.46, compared to TRMB's forward P/E of 20.24, suggesting DKILY may be undervalued [5] - DKILY's PEG ratio is 1.88, while TRMB's PEG ratio is 2.02, indicating DKILY has a better expected earnings growth relative to its valuation [5] Group 2 - DKILY has a P/B ratio of 1.91, which is lower than TRMB's P/B ratio of 2.39, further supporting DKILY's valuation as more attractive [6] - DKILY holds a Value grade of A, while TRMB has a Value grade of D, highlighting DKILY's superior value metrics [6] - Overall, DKILY stands out in both Zacks Rank and Style Scores models, making it a more favorable option for value investors compared to TRMB [6]

Core Insights - The article emphasizes the importance of the Zacks Rank and Style Scores system in identifying strong stocks, particularly focusing on value investing strategies [1][3] Company Analysis - Daikin Industries (DKILY) has a Zacks Rank of 2 (Buy) and an A grade for Value, indicating it is a strong candidate for value investors [4] - DKILY's Forward P/E ratio is 19.55, which is lower than the industry's average Forward P/E of 21.83, suggesting it may be undervalued [4] - Over the past 12 months, DKILY's Forward P/E has fluctuated between a high of 26.69 and a low of 18.20, with a median of 23.22 [4] - The company's P/B ratio is 2.14, which is significantly lower than the industry's average P/B of 3.65, further indicating potential undervaluation [5] - DKILY's P/B ratio has ranged from a high of 2.91 to a low of 1.95 over the past year, with a median of 2.46 [5] - The combination of these metrics suggests that DKILY is likely undervalued and has a strong earnings outlook, making it an attractive value stock [6]

Core Insights - The article compares Daikin Industries (DKILY) and Garmin (GRMN) to determine which stock offers better value for investors [1] Valuation Metrics - DKILY has a forward P/E ratio of 20.52, while GRMN has a forward P/E of 29.71 [5] - DKILY's PEG ratio is 1.99, indicating a more favorable earnings growth outlook compared to GRMN's PEG ratio of 3.11 [5] - DKILY's P/B ratio is 2.05, significantly lower than GRMN's P/B of 4.93, suggesting DKILY is more undervalued relative to its book value [6] Earnings Estimates - DKILY currently holds a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while GRMN has a Zacks Rank of 3 (Hold) [3] - The stronger estimate revision activity for DKILY suggests a more favorable earnings trajectory compared to GRMN [7] Value Grades - DKILY has a Value grade of B, while GRMN has a Value grade of D, reflecting DKILY's more attractive valuation metrics [6]

Core Viewpoint - Value investing remains a preferred strategy for identifying strong stocks in various market conditions, utilizing established valuation metrics to uncover potential opportunities [2][3]. Company Analysis: Daikin Industries (DKILY) - Daikin Industries currently holds a Zacks Rank of 2 (Buy) and an A grade for Value, indicating strong potential for value investors [4]. - The stock has a P/E ratio of 19.38, which is lower than the industry average of 20.10. Over the past 52 weeks, DKILY's Forward P/E has fluctuated between 19.38 and 29.26, with a median of 23.42 [4]. - DKILY's P/B ratio stands at 2.06, significantly lower than the industry average of 3.65. The P/B ratio has ranged from 2.06 to 3.22 over the past year, with a median of 2.49 [5]. - The P/CF ratio for DKILY is 14.03, compared to the industry's average of 18.71. This ratio has varied between 13.20 and 17.78 in the past 52 weeks, with a median of 14.67 [6]. - Overall, the metrics suggest that Daikin Industries is likely undervalued, and its strong earnings outlook positions it as one of the market's strongest value stocks [7].