Core Insights - The article compares two stocks in the Leisure and Recreation Services sector: Marriott Vacations Worldwide (VAC) and Vail Resorts (MTN), focusing on which stock is more attractive to value investors [1] Valuation Metrics - VAC has a forward P/E ratio of 15.19, while MTN has a forward P/E of 25.09, indicating that VAC may be undervalued compared to MTN [5] - VAC's PEG ratio is 0.86, suggesting a more favorable valuation when considering expected earnings growth, whereas MTN's PEG ratio is 1.75 [5] - VAC's P/B ratio is 1.36, significantly lower than MTN's P/B of 6.58, further supporting VAC's position as a more attractive investment [6] Zacks Rank and Earnings Outlook - VAC currently holds a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while MTN has a Zacks Rank of 5 (Strong Sell) [3] - The Zacks Rank system emphasizes companies with positive estimate revision trends, which favors VAC due to its improving earnings outlook [3][7] Value Grades - VAC has a Value grade of A, while MTN has a Value grade of D, reflecting the relative attractiveness of their valuations [6][7] - Stronger estimate revision activity and more attractive valuation metrics for VAC suggest it is the superior option for value investors at this time [7]
VAC vs. MTN: Which Stock Is the Better Value Option?