Core Viewpoint - Investors in the Financial - Miscellaneous Services sector should consider Grupo Financiero Banorte SAB de CV (GBOOY) and American Express (AXP) for potential value investment opportunities [1] Group 1: Zacks Rank and Earnings Estimates - GBOOY has a Zacks Rank of 2 (Buy), indicating a more favorable earnings estimate revision activity compared to AXP, which has a Zacks Rank of 3 (Hold) [3] - The Zacks Rank strategy targets companies with positive earnings estimate revision trends, which is a key factor for value investors [2] Group 2: Valuation Metrics - GBOOY has a forward P/E ratio of 8.80, significantly lower than AXP's forward P/E of 20.25, suggesting GBOOY may be undervalued [5] - GBOOY's PEG ratio is 1.09, while AXP's PEG ratio is 1.50, indicating GBOOY has a better balance of price to expected earnings growth [5] - GBOOY's P/B ratio is 2.31, compared to AXP's P/B of 7.3, further supporting GBOOY's valuation attractiveness [6] Group 3: Overall Investment Conclusion - GBOOY's stronger estimate revision activity and more attractive valuation metrics lead to a Value grade of A, while AXP has a Value grade of C, making GBOOY the superior option for value investors [7]
GBOOY or AXP: Which Is the Better Value Stock Right Now?