Investors interested in stocks from the Financial - Investment Bank sector have probably already heard of BGC Group (BGC) and Robinhood Markets, Inc. (HOOD). 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 BGC Group and Robinhood Markets, Inc. are holding a Zacks Rank of # 1 (Strong 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 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.

BGC currently has a forward P/E ratio of 8.48, while HOOD has a forward P/E of 32.42. We also note that BGC has a PEG ratio of 0.36. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. HOOD currently has a PEG ratio of 1.99.

Another notable valuation metric for BGC is its P/B ratio of 4.36. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, HOOD has a P/B of 5.42.

Based on these metrics and many more, BGC holds a Value grade of B, while HOOD has a Value grade of F.

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

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

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