FHN vs. CFR: Which Stock Should Value Investors Buy Now?

Core Viewpoint - The article compares First Horizon National (FHN) and Cullen/Frost Bankers (CFR) to determine which stock is more attractive to value investors [1] Group 1: Zacks Rank and Earnings Outlook - First Horizon National has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while Cullen/Frost Bankers has a Zacks Rank of 3 (Hold) [3] - The Zacks Rank is based on recent positive revisions to earnings estimates, suggesting that FHN has an improving earnings outlook [3] Group 2: Valuation Metrics - FHN has a forward P/E ratio of 12.79, compared to CFR's forward P/E of 13.52, indicating that FHN may be undervalued [5] - FHN's PEG ratio is 1.06, while CFR's PEG ratio is significantly higher at 2.66, suggesting FHN has better growth potential relative to its valuation [5] - FHN's P/B ratio is 1.3, while CFR's P/B ratio is 2.01, further supporting the notion that FHN is more attractively valued [6] Group 3: Value Grades - FHN has a Value grade of B, while CFR has a Value grade of C, indicating that FHN is viewed more favorably by value investors [6] - The combination of Zacks Rank and Style Scores suggests that FHN is the better option for value investors at this time [6]