Core Viewpoint - The article compares Roche Holding AG (RHHBY) and AbbVie (ABBV) to determine which stock is more attractive to value investors [1] Group 1: Zacks Rank and Earnings Outlook - Roche Holding AG has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while AbbVie has a Zacks Rank of 3 (Hold) [3] - The Zacks Rank emphasizes companies with positive earnings estimate revisions, suggesting RHHBY is likely experiencing a more favorable earnings outlook [3] Group 2: Valuation Metrics - RHHBY has a forward P/E ratio of 14.51, compared to ABBV's forward P/E of 18.01, indicating RHHBY may be undervalued [5] - The PEG ratio for RHHBY is 2.26, while ABBV's PEG ratio is 2.67, suggesting RHHBY has a better expected EPS growth relative to its valuation [5] - RHHBY's P/B ratio is 7.93, significantly lower than ABBV's P/B of 50.69, further indicating RHHBY's relative undervaluation [6] Group 3: Value Grades - Based on various valuation metrics, RHHBY holds a Value grade of B, while ABBV has a Value grade of C, making RHHBY a more attractive option for value investors [6]
RHHBY or ABBV: Which Is the Better Value Stock Right Now?