OUT vs. PSA: Which Stock Should Value Investors Buy Now?

Core Viewpoint - Outfront Media (OUT) is currently viewed as a more attractive investment option compared to Public Storage (PSA) for value investors seeking undervalued stocks [1]. Group 1: Zacks Rank and Earnings Estimates - Outfront Media has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while Public Storage has a Zacks Rank of 3 (Hold) [3]. - The Zacks Rank system emphasizes companies with positive earnings estimate revisions, suggesting that OUT is likely experiencing a more favorable earnings outlook than PSA [3]. Group 2: Valuation Metrics - Outfront Media has a forward P/E ratio of 9.56, significantly lower than Public Storage's forward P/E of 17.29, indicating that OUT may be undervalued [5]. - The PEG ratio for OUT is 0.96, while PSA has a PEG ratio of 4.83, further suggesting that OUT is more favorably valued in terms of expected earnings growth [5]. - Outfront Media's P/B ratio is 5.59 compared to Public Storage's P/B of 9.95, reinforcing the notion that OUT is more attractively priced relative to its book value [6]. Group 3: Value Grades - Outfront Media has received a Value grade of A, while Public Storage has a Value grade of D, indicating a significant difference in perceived value between the two companies [6]. - The combination of Zacks Rank and Style Scores indicates that value investors are likely to prefer Outfront Media over Public Storage at this time [6].