PAL vs. EXPD: Which Stock Should Value Investors Buy Now?

Investors interested in Transportation - Services stocks are likely familiar with Proficient Auto Logistics, Inc. (PAL) and Expeditors International (EXPD). But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.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 emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.Right now, both Proficient Auto Logistics, Inc. and Expeditors International are sporting a Zacks Rank of # 2 (Buy). Investors should feel comfortable knowing that both of these stocks have an improving earnings outlook since the Zacks Rank favors companies that have witnessed positive analyst estimate revisions. But this is just one factor that value investors are interested in.Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its current share price levels.The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.PAL currently has a forward P/E ratio of 14.65, while EXPD has a forward P/E of 20.70. We also note that PAL has a PEG ratio of 0.98. 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. EXPD currently has a PEG ratio of 4.76.Another notable valuation metric for PAL is its P/B ratio of 0.68. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, EXPD has a P/B of 7.05.Based on these metrics and many more, PAL holds a Value grade of B, while EXPD has a Value grade of D.Both PAL and EXPD are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that PAL is the superior value option right now.7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention. See them 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 Proficient Auto Logistics, Inc. (PAL): Free Stock Analysis Report Expeditors International of Washington, Inc. (EXPD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks