Investors interested in Automotive - Original Equipment stocks are likely familiar with BorgWarner (BWA) and Modine (MOD). But which of these two stocks presents investors with the better value opportunity right now? Let's 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.

BorgWarner and Modine are sporting Zacks Ranks of #2 (Buy) and #3 (Hold), respectively, right now. This means that BWA's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is only part of the picture 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.

BWA currently has a forward P/E ratio of 8.23, while MOD has a forward P/E of 31.39. We also note that BWA has a PEG ratio of 0.72. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. MOD currently has a PEG ratio of 0.92.

Another notable valuation metric for BWA is its P/B ratio of 1.19. 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, MOD has a P/B of 7.27.

These metrics, and several others, help BWA earn a Value grade of A, while MOD has been given a Value grade of C.

BWA stands above MOD thanks to its solid earnings outlook, and based on these valuation figures, we also feel that BWA is the superior value option right now.

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