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Is Hugo Boss (BOSSY) Stock Undervalued Right Now?

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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.

Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.

Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.

One company to watch right now is Hugo Boss (BOSSY - Free Report) . BOSSY is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.

Another valuation metric that we should highlight is BOSSY's P/B ratio of 3.16. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 5.99. Over the past 12 months, BOSSY's P/B has been as high as 4.73 and as low as 2.91, with a median of 3.71.

Finally, investors will want to recognize that BOSSY has a P/CF ratio of 5.36. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 16.92. Within the past 12 months, BOSSY's P/CF has been as high as 11.88 and as low as 5.07, with a median of 7.13.

Another great Textile - Apparel stock you could consider is Crocs (CROX - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.

Shares of Crocs currently holds a Forward P/E ratio of 7.52, and its PEG ratio is 0.50. In comparison, its industry sports average P/E and PEG ratios of 10.82 and 1.09.


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