Investors interested in stocks from the Internet - Software sector have probably already heard of 8x8 (EGHT) and BlackLine (BL). 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.

8x8 has a Zacks Rank of #2 (Buy), while BlackLine has a Zacks Rank of #4 (Sell) right now. Investors should feel comfortable knowing that EGHT likely has seen a stronger improvement to its earnings outlook than BL has recently. But this is just one factor that value investors are interested in.

Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their 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.

EGHT currently has a forward P/E ratio of 7.92, while BL has a forward P/E of 23.76. We also note that EGHT has a PEG ratio of 0.68. 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. BL currently has a PEG ratio of 4.70.

Another notable valuation metric for EGHT is its P/B ratio of 3.27. 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, BL has a P/B of 6.90.

Based on these metrics and many more, EGHT holds a Value grade of B, while BL has a Value grade of D.

EGHT sticks out from BL in both our Zacks Rank and Style Scores models, so value investors will likely feel that EGHT is the better option right now.

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