TIGR or TW: Which Is the Better Value Stock Right Now?

Investors with an interest in Financial - Investment Bank stocks have likely encountered both UP Fintech Holding Limited (TIGR) and Tradeweb Markets (TW). But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.

We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.

UP Fintech Holding Limited has a Zacks Rank of #2 (Buy), while Tradeweb Markets has a Zacks Rank of #3 (Hold) right now. This means that TIGR's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one factor that value investors are interested in.

Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its current share price levels.

Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.

TIGR currently has a forward P/E ratio of 14.40, while TW has a forward P/E of 40.80. We also note that TIGR has a PEG ratio of 0.76. 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. TW currently has a PEG ratio of 2.31.

Another notable valuation metric for TIGR is its P/B ratio of 2.21. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, TW has a P/B of 5.01.

These metrics, and several others, help TIGR earn a Value grade of B, while TW has been given a Value grade of F.

TIGR has seen stronger estimate revision activity and sports more attractive valuation metrics than TW, so it seems like value investors will conclude that TIGR is the superior option right now.

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This article originally published on Zacks Investment Research (zacks.com).

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