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HIBB vs. JWN: Which Stock Should Value Investors Buy Now?
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Investors interested in stocks from the Retail - Apparel and Shoes sector have probably already heard of Hibbett (HIBB - Free Report) and Nordstrom (JWN - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Right now, Hibbett is sporting a Zacks Rank of #1 (Strong Buy), while Nordstrom has a Zacks Rank of #3 (Hold). This means that HIBB's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one piece of the puzzle for value investors.
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 grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
HIBB currently has a forward P/E ratio of 9.51, while JWN has a forward P/E of 29.36. We also note that HIBB has a PEG ratio of 0.54. 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. JWN currently has a PEG ratio of 4.89.
Another notable valuation metric for HIBB is its P/B ratio of 3.14. 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, JWN has a P/B of 33.61.
These metrics, and several others, help HIBB earn a Value grade of A, while JWN has been given a Value grade of D.
HIBB sticks out from JWN in both our Zacks Rank and Style Scores models, so value investors will likely feel that HIBB is the better option right now.
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HIBB vs. JWN: Which Stock Should Value Investors Buy Now?
Investors interested in stocks from the Retail - Apparel and Shoes sector have probably already heard of Hibbett (HIBB - Free Report) and Nordstrom (JWN - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identify stocks with specific traits.
Right now, Hibbett is sporting a Zacks Rank of #1 (Strong Buy), while Nordstrom has a Zacks Rank of #3 (Hold). This means that HIBB's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one piece of the puzzle for value investors.
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 grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
HIBB currently has a forward P/E ratio of 9.51, while JWN has a forward P/E of 29.36. We also note that HIBB has a PEG ratio of 0.54. 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. JWN currently has a PEG ratio of 4.89.
Another notable valuation metric for HIBB is its P/B ratio of 3.14. 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, JWN has a P/B of 33.61.
These metrics, and several others, help HIBB earn a Value grade of A, while JWN has been given a Value grade of D.
HIBB sticks out from JWN in both our Zacks Rank and Style Scores models, so value investors will likely feel that HIBB is the better option right now.