BAP vs. NU: Which Stock Is the Better Value Option?

Core Insights - The article compares two financial institutions, Credicorp (BAP) and Nu Holdings Ltd. (NU), to determine which is a better investment opportunity for those seeking undervalued stocks [1]. Valuation Metrics - Credicorp (BAP) has a Zacks Rank of 2 (Buy), indicating a more favorable earnings estimate revision activity compared to Nu Holdings Ltd. (NU), which has a Zacks Rank of 3 (Hold) [3]. - BAP's forward P/E ratio is 11.40, significantly lower than NU's forward P/E of 28.58, suggesting that BAP may be undervalued relative to NU [5]. - The PEG ratio for BAP is 0.74, while NU's PEG ratio is 0.83, indicating that BAP has a better valuation considering its expected earnings growth [5]. - BAP's P/B ratio is 2.2, compared to NU's P/B of 8.01, further supporting the notion that BAP is more attractively valued [6]. - Overall, BAP has a Value grade of A, while NU has a Value grade of C, highlighting BAP's superior valuation metrics [6]. Earnings Outlook - BAP is noted for its improving earnings outlook, which enhances its attractiveness in the investment landscape [7].