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INGR vs. DANOY: Which Stock Should Value Investors Buy Now?
IngredionIngredion(US:INGR) ZACKSยท2024-10-29 16:40

Core Insights - The article compares Ingredion (INGR) and Danone (DANOY) to determine which stock is more attractive to value investors [1] - Ingredion has a stronger Zacks Rank of 2 (Buy) compared to Danone's Zacks Rank of 4 (Sell), indicating a more favorable earnings estimate revision activity for INGR [3] - Value investors consider various traditional metrics to assess whether a company is undervalued, beyond just earnings estimates [3] Valuation Metrics - Ingredion has a forward P/E ratio of 13.42, while Danone has a forward P/E of 19.42, suggesting that INGR may be undervalued relative to DANOY [5] - The PEG ratio for Ingredion is 1.22, indicating a more favorable growth expectation compared to Danone's PEG ratio of 7.53 [5] - Ingredion's P/B ratio is 2.38, compared to Danone's P/B of 2.75, further supporting the argument that INGR is a better value investment [6] Value Grades - Based on the analyzed metrics, Ingredion holds a Value grade of A, while Danone has a Value grade of C, reinforcing the preference for INGR among value investors [6]