FIVN vs. ADYEY: Which Stock Is the Better Value Option?

Core Insights - Investors in the Internet - Software sector may consider Five9 (FIVN) and Adyen N.V. Unsponsored ADR (ADYEY) as potential value stocks [1] - A strong Zacks Rank combined with a good Value grade from the Style Scores system is identified as an effective strategy for finding value stocks [2] Valuation Metrics - Both FIVN and ADYEY currently have a Zacks Rank of 2 (Buy), indicating a positive earnings outlook due to favorable analyst estimate revisions [3] - FIVN has a forward P/E ratio of 9.62, while ADYEY has a significantly higher forward P/E of 45.28 [5] - The PEG ratio for FIVN is 0.61, suggesting it is undervalued relative to its expected earnings growth, whereas ADYEY has a PEG ratio of 2.17 [5] - FIVN's P/B ratio is 3.05, indicating a lower market value compared to its book value, while ADYEY's P/B ratio is much higher at 14.36 [6] - Based on these valuation metrics, FIVN is rated with a Value grade of B, while ADYEY has a Value grade of F [6] Conclusion - Despite both companies having solid earnings outlooks, FIVN is considered the superior value option based on the discussed valuation figures [7]