Core Viewpoint - Investors in the Electronics - Manufacturing Machinery sector should consider MKS Instruments (MKSI) and Entegris (ENTG) for potential value investment opportunities [1] Group 1: Zacks Rank and Earnings Outlook - MKS Instruments has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while Entegris has a Zacks Rank of 4 (Sell) [3] - The Zacks Rank emphasizes companies with positive earnings estimate revisions, suggesting that MKSI is likely experiencing a more favorable earnings outlook [3][7] Group 2: Valuation Metrics - MKSI has a forward P/E ratio of 16.75, significantly lower than Entegris's forward P/E of 34.51, indicating that MKSI may be undervalued [5] - MKSI's PEG ratio is 0.62, while ENTG's PEG ratio is 1.70, further suggesting that MKSI offers better value considering expected earnings growth [5] - MKSI's P/B ratio is 2.98 compared to ENTG's P/B of 4.28, reinforcing the notion that MKSI is more attractively valued [6] - These valuation metrics contribute to MKSI receiving a Value grade of A, while ENTG has a Value grade of C [6]
MKSI vs. ENTG: Which Stock Should Value Investors Buy Now?