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JILL or GOOS: Which Is the Better Value Stock Right Now?

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Investors looking for stocks in the Retail - Apparel and Shoes sector might want to consider either J.Jill (JILL - Free Report) or Canada Goose (GOOS - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.

We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.

Both J.Jill and Canada Goose have a Zacks Rank of # 2 (Buy) right now. Investors should feel comfortable knowing that both of these stocks have an improving earnings outlook since the Zacks Rank favors companies that have witnessed positive analyst estimate revisions. 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.

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.

JILL currently has a forward P/E ratio of 10.65, while GOOS has a forward P/E of 73.04. We also note that JILL has a PEG ratio of 0.98. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. GOOS currently has a PEG ratio of 2.91.

Another notable valuation metric for JILL is its P/B ratio of 1.89. 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, GOOS has a P/B of 33.49.

These are just a few of the metrics contributing to JILL's Value grade of A and GOOS's Value grade of F.

Both JILL and GOOS are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that JILL is the superior value option right now.


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J.Jill, Inc. (JILL) - free report >>

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