Core Viewpoint - The article compares Adtalem Global Education (ATGE) and Grand Canyon Education (LOPE) to determine which stock is more attractive to value investors [1] Group 1: Zacks Rank and Earnings Estimates - ATGE has a Zacks Rank of 2 (Buy), while LOPE has a Zacks Rank of 3 (Hold), indicating that ATGE's earnings estimate revision activity is more favorable [3] - The Zacks Rank emphasizes earnings estimates and revisions, which are critical for value investors [2] Group 2: Valuation Metrics - ATGE has a forward P/E ratio of 17.38, compared to LOPE's forward P/E of 20.67, suggesting ATGE may be undervalued [5] - The PEG ratio for ATGE is 1.16, while LOPE's PEG ratio is 1.38, indicating ATGE has a better expected EPS growth relative to its valuation [5] - ATGE's P/B ratio is 2.72, significantly lower than LOPE's P/B of 7.02, further supporting ATGE's valuation attractiveness [6] Group 3: Overall Value Assessment - ATGE earns a Value grade of B, while LOPE receives a Value grade of C, highlighting ATGE's stronger position in terms of value metrics [6] - Given the favorable Zacks Rank and Style Scores, ATGE is positioned as the better option for value investors at this time [7]
ATGE vs. LOPE: Which Stock Is the Better Value Option?