Investors with an interest in Banks - Foreign stocks have likely encountered both Toronto-Dominion Bank (TD) and Banco De Chile (BCH). But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.Right now, both Toronto-Dominion Bank and Banco De Chile are sporting a Zacks Rank of # 2 (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 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.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.TD currently has a forward P/E ratio of 12.22, while BCH has a forward P/E of 14.90. We also note that TD has a PEG ratio of 1.07. 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. BCH currently has a PEG ratio of 2.67.Another notable valuation metric for TD is its P/B ratio of 1.75. 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, BCH has a P/B of 2.49.These are just a few of the metrics contributing to TD's Value grade of B and BCH's Value grade of D.Both TD and BCH are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that TD is the superior value option right now.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Toronto Dominion Bank The (TD): Free Stock Analysis Report Banco De Chile (BCH): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research