SNN vs. GEHC: Which Stock Is the Better Value Option?

Core Insights - The article compares Smith & Nephew (SNN) and GE HealthCare Technologies (GEHC) to determine which stock is more attractive to value investors [1] Group 1: Zacks Rank and Earnings Outlook - Smith & Nephew has a Zacks Rank of 2 (Buy), indicating a positive earnings estimate revision trend, while GE HealthCare Technologies has a Zacks Rank of 5 (Strong Sell) [3] - The improving analyst outlook for SNN suggests a more favorable investment opportunity compared to GEHC [3][7] Group 2: Valuation Metrics - SNN has a forward P/E ratio of 15.21, while GEHC has a forward P/E of 17.91, indicating SNN may be undervalued [5] - The PEG ratio for SNN is 0.92, compared to GEHC's PEG ratio of 2.43, further suggesting SNN's better valuation relative to its expected EPS growth [5] - SNN's P/B ratio is 2.48, while GEHC's P/B ratio is 3.58, reinforcing SNN's position as a more attractive value option [6] Group 3: Value Grades - SNN has a Value grade of A, while GEHC has a Value grade of C, highlighting SNN's stronger valuation metrics [6]