HBAN vs. CBSH: Which Stock Should Value Investors Buy Now?

Core Viewpoint - Investors are evaluating Huntington Bancshares (HBAN) and Commerce Bancshares (CBSH) for potential undervalued stock opportunities, with HBAN currently appearing as the superior option based on various valuation metrics [1][7]. Valuation Metrics - HBAN has a forward P/E ratio of 10.24, significantly lower than CBSH's forward P/E of 15.15, indicating that HBAN may be undervalued [5]. - The PEG ratio for HBAN is 1.12, while CBSH's PEG ratio is considerably higher at 4.08, suggesting that HBAN offers better value relative to its expected earnings growth [5]. - HBAN's P/B ratio stands at 1.15, compared to CBSH's P/B of 2.35, further supporting the notion that HBAN is more attractively priced [6]. Earnings Outlook - HBAN is experiencing an improving earnings outlook, which enhances its attractiveness in the Zacks Rank model, indicating stronger potential for future performance compared to CBSH [3][7]. Value Grades - Based on the analysis of key fundamental metrics, HBAN has received a Value grade of B, while CBSH has a Value grade of D, highlighting HBAN's stronger position as a value investment [6].