KNF vs. JHX: Which Stock Should Value Investors Buy Now?

Core Viewpoint - Investors in the Building Products - Miscellaneous sector should consider Knife River (KNF) as a potentially undervalued stock compared to James Hardie (JHX) [1] Valuation Metrics - Knife River has a P/B ratio of 3.32, while James Hardie has a P/B ratio of 7.72, indicating that KNF is more favorably valued in terms of book value [3] - KNF's forward P/E ratio is 20.30, compared to JHX's forward P/E of 21.82, suggesting that KNF may be a better value option [5] - The PEG ratio for KNF is 2.68, while JHX has a PEG ratio of 2.85, further supporting the notion that KNF is more attractively priced relative to its expected earnings growth [5] Earnings Outlook - Knife River has a stronger earnings outlook compared to James Hardie, which is reflected in their respective Zacks Ranks of 2 (Buy) for KNF and 5 (Strong Sell) for JHX [4] Value Grades - Based on various valuation metrics, Knife River holds a Value grade of B, while James Hardie has a Value grade of D, indicating that KNF is perceived as a better value investment [9]