Advertisement
New Zealand markets closed
  • NZX 50

    11,946.43
    +143.15 (+1.21%)
     
  • NZD/USD

    0.5939
    +0.0002 (+0.03%)
     
  • NZD/EUR

    0.5544
    -0.0001 (-0.03%)
     
  • ALL ORDS

    7,937.50
    -0.40 (-0.01%)
     
  • ASX 200

    7,683.00
    -0.50 (-0.01%)
     
  • OIL

    82.81
    0.00 (0.00%)
     
  • GOLD

    2,321.10
    -17.30 (-0.74%)
     
  • NASDAQ

    17,526.80
    +55.33 (+0.32%)
     
  • FTSE

    8,040.38
    -4.43 (-0.06%)
     
  • Dow Jones

    38,460.92
    -42.77 (-0.11%)
     
  • DAX

    18,088.70
    -48.95 (-0.27%)
     
  • Hang Seng

    17,300.94
    +99.67 (+0.58%)
     
  • NIKKEI 225

    37,818.11
    -641.97 (-1.67%)
     
  • NZD/JPY

    92.2750
    +0.1600 (+0.17%)
     

OSK vs. NIU: Which Stock Is the Better Value Option?

Investors interested in Automotive - Original Equipment stocks are likely familiar with Oshkosh (OSK) and NIU TECHADR (NIU). But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.

Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.

Currently, both Oshkosh and NIU TECHADR are holding a Zacks Rank of # 2 (Buy). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that both of these companies have improving earnings outlooks. But this is just one piece of the puzzle for value investors.

Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their current share price levels.

ADVERTISEMENT

The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.

OSK currently has a forward P/E ratio of 17.90, while NIU has a forward P/E of 62.93. We also note that OSK has a PEG ratio of 2.02. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. NIU currently has a PEG ratio of 2.10.

Another notable valuation metric for OSK is its P/B ratio of 1.82. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, NIU has a P/B of 12.31.

These are just a few of the metrics contributing to OSK's Value grade of A and NIU's Value grade of D.

Both OSK and NIU are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that OSK is the superior value option right now.


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Oshkosh Corporation (OSK) : Free Stock Analysis Report
 
NIU TECHADR (NIU) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.