Yahoo Finance QFIN or AMPL: Which Is the Better Value Stock Right Now?
Investors with an interest in Technology Services stocks have likely encountered both Qifu Technology, Inc. (QFIN) and Amplitude, Inc. (AMPL). But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Qifu Technology, Inc. has a Zacks Rank of #2 (Buy), while Amplitude, Inc. has a Zacks Rank of #3 (Hold) right now. This means that QFIN's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one piece of the puzzle for value investors.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their current share price levels.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
QFIN currently has a forward P/E ratio of 4.66, while AMPL has a forward P/E of 140.37. We also note that QFIN has a PEG ratio of 0.47. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. AMPL currently has a PEG ratio of 4.57.
Another notable valuation metric for QFIN is its P/B ratio of 1.02. 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, AMPL has a P/B of 4.69.
These are just a few of the metrics contributing to QFIN's Value grade of A and AMPL's Value grade of F.
QFIN sticks out from AMPL in both our Zacks Rank and Style Scores models, so value investors will likely feel that QFIN is the better option right now.
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Qifu Technology, Inc. (QFIN) : Free Stock Analysis Report
Amplitude, Inc. (AMPL) : Free Stock Analysis Report
