SYF vs. SOFI: Which Stock Is the Better Value Option?

Core Insights - The article compares Synchrony (SYF) and SoFi Technologies, Inc. (SOFI) to determine which stock is a better undervalued investment option for investors in the Financial - Miscellaneous Services sector [1] Valuation Metrics - Synchrony has a Zacks Rank of 2 (Buy), indicating a more favorable earnings estimate revision trend compared to SoFi, which has a Zacks Rank of 3 (Hold) [3] - SYF's forward P/E ratio is 9.99, significantly lower than SOFI's forward P/E of 59.09, suggesting SYF is more attractively priced [5] - SYF has a PEG ratio of 0.78, while SOFI's PEG ratio is 2.21, indicating SYF's expected earnings growth is more favorable relative to its valuation [5] - SYF's P/B ratio is 1.76, compared to SOFI's P/B of 2.91, further supporting SYF's valuation advantage [6] Value Grades - SYF has earned a Value grade of A, while SOFI has received a Value grade of F, highlighting the significant difference in their valuation metrics [6] - The stronger estimate revision activity and more attractive valuation metrics for SYF suggest it is the superior option for value investors at this time [7]