NX vs. ROAD: Which Stock Should Value Investors Buy Now?

Core Viewpoint - Quanex Building Products (NX) is currently viewed as a more attractive investment option compared to Construction Partners (ROAD) due to its stronger valuation metrics and earnings outlook [3][7]. Valuation Metrics - NX has a forward P/E ratio of 6.35, significantly lower than ROAD's forward P/E of 39.58, indicating that NX is potentially undervalued [5]. - The PEG ratio for NX is 0.45, while ROAD's PEG ratio is 0.99, suggesting that NX offers better value relative to its expected earnings growth [5]. - NX's P/B ratio stands at 0.79, compared to ROAD's P/B of 5.34, further highlighting NX's superior valuation [6]. Earnings Outlook - NX holds a Zacks Rank of 1 (Strong Buy), indicating a positive earnings estimate revision trend, while ROAD has a Zacks Rank of 3 (Hold), suggesting a less favorable earnings outlook [3][7]. - The solid earnings outlook for NX contributes to its classification as the superior value option in the current market [7].