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NMR vs. BAC: Which Stock Should Value Investors Buy Now?
Nomura Nomura (US:NMR) ZACKS·2025-01-27 17:41

Core Viewpoint - Nomura Holdings (NMR) is currently considered a more attractive value investment compared to Bank of America (BAC) based on various valuation metrics [3][7]. Valuation Metrics - NMR has a forward P/E ratio of 9.34, while BAC has a forward P/E of 12.66, indicating that NMR is undervalued relative to BAC [5]. - The PEG ratio for NMR is 0.41, suggesting strong expected EPS growth relative to its price, whereas BAC has a PEG ratio of 1.26, indicating a less favorable growth outlook [5]. - NMR's P/B ratio stands at 0.82, compared to BAC's P/B of 1.31, further supporting the notion that NMR is undervalued [6]. Earnings Outlook - Both NMR and BAC have a Zacks Rank of 2 (Buy), indicating positive earnings estimate revisions and improving earnings outlooks [3][7]. - Despite both companies having solid earnings prospects, NMR's superior valuation metrics position it as the better value option [7].