AFYA or LOPE: Which Is the Better Value Stock Right Now?

Core Insights - Investors in the Schools sector may consider Afya (AFYA) and Grand Canyon Education (LOPE) as potential investment opportunities [1] - The Zacks Rank system, which emphasizes positive earnings estimate revisions, is a key tool for identifying value opportunities [2] Valuation Metrics - Afya has a Zacks Rank of 1 (Strong Buy), while Grand Canyon Education has a Zacks Rank of 3 (Hold), indicating a stronger earnings outlook for AFYA [3] - AFYA's forward P/E ratio is 10.16, significantly lower than LOPE's forward P/E of 20.16, suggesting AFYA may be undervalued [5] - The PEG ratio for AFYA is 0.55, compared to LOPE's PEG ratio of 1.34, indicating better expected earnings growth relative to its price [5] - AFYA's P/B ratio is 2.02, while LOPE's P/B ratio is 6.42, further highlighting AFYA's relative valuation advantage [6] - Based on these metrics, AFYA holds a Value grade of A, while LOPE has a Value grade of C, making AFYA the more attractive option for value investors [6]