GBOOY vs. BAM: Which Stock Should Value Investors Buy Now?

Core Viewpoint - Grupo Financiero Banorte SAB de CV (GBOOY) is currently viewed as a better value opportunity compared to Brookfield Asset Management (BAM) based on various financial metrics and rankings [1]. Group 1: Company Rankings - GBOOY has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while BAM has a Zacks Rank of 3 (Hold) [3]. - The Zacks Rank system emphasizes companies with positive estimate revision trends, which supports GBOOY's improving earnings outlook [3]. Group 2: Valuation Metrics - GBOOY has a forward P/E ratio of 8.11, significantly lower than BAM's forward P/E of 32.65, suggesting GBOOY is undervalued [5]. - The PEG ratio for GBOOY is 0.95, while BAM's PEG ratio is 1.96, indicating GBOOY's expected earnings growth is more favorable relative to its price [5]. - GBOOY's P/B ratio is 1.84, compared to BAM's P/B of 9.86, further highlighting GBOOY's superior valuation [6]. Group 3: Value Grades - GBOOY holds a Value grade of A, while BAM has a Value grade of F, indicating a significant difference in perceived value between the two stocks [6]. - The combination of solid earnings outlook and favorable valuation metrics positions GBOOY as the superior value option at this time [6].