GMED vs. ITGR: Which Stock Is the Better Value Option?

Investors interested in Medical - Instruments stocks are likely familiar with Globus Medical (GMED) and Integer (ITGR). 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, Globus Medical has a Zacks Rank of #1 (Strong Buy), while Integer has a Zacks Rank of #3 (Hold). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that GMED has an improving earnings outlook. But this is just one piece of the puzzle for value investors.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.GMED currently has a forward P/E ratio of 17.48, while ITGR has a forward P/E of 20.72. We also note that GMED has a PEG ratio of 1.40. 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. ITGR currently has a PEG ratio of 2.98.Another notable valuation metric for GMED is its P/B ratio of 2.45. 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, ITGR has a P/B of 2.47.These metrics, and several others, help GMED earn a Value grade of B, while ITGR has been given a Value grade of C.GMED stands above ITGR thanks to its solid earnings outlook, and based on these valuation figures, we also feel that GMED is the superior value option right now. 7 Best Stocks for the Next 30 Days Just 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 >>This article originally published on Zacks Investment Research (zacks.com).Zacks Investment Research