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Are These Retail-Wholesale Stocks a Great Value Stocks Right Now?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 Capri Holdings (CPRI - Free Report) . CPRI is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 9.49 right now. For comparison, its industry sports an average P/E of 12.43. Over the past year, CPRI's Forward P/E has been as high as 32.82 and as low as 9.04, with a median of 12.51.
Investors will also notice that CPRI has a PEG ratio of 0.29. 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. CPRI's industry has an average PEG of 0.66 right now. Over the last 12 months, CPRI's PEG has been as high as 6.06 and as low as 0.18, with a median of 0.64.
Another notable valuation metric for CPRI is its P/B ratio of 3.26. 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 attractive against its industry's average P/B of 3.98. Within the past 52 weeks, CPRI's P/B has been as high as 4.17 and as low as 2.62, with a median of 3.53.
Tapestry (TPR - Free Report) may be another strong Retail - Apparel and Shoes stock to add to your shortlist. TPR is a # 2 (Buy) stock with a Value grade of A.
Tapestry is trading at a forward earnings multiple of 10.24 at the moment, with a PEG ratio of 0.83. This compares to its industry's average P/E of 12.43 and average PEG ratio of 0.66.
TPR's price-to-earnings ratio has been as high as 17.24 and as low as 9.81, with a median of 13.34, while its PEG ratio has been as high as 1.72 and as low as 0.80, with a median of 1.30, all within the past year.
Tapestry sports a P/B ratio of 3.34 as well; this compares to its industry's price-to-book ratio of 3.98. In the past 52 weeks, TPR's P/B has been as high as 4.54, as low as 2.94, with a median of 3.69.
These are only a few of the key metrics included in Capri Holdings and Tapestry strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, CPRI and TPR look like an impressive value stock at the moment.
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Are These Retail-Wholesale Stocks a Great Value Stocks Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
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 Capri Holdings (CPRI - Free Report) . CPRI is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with P/E ratio of 9.49 right now. For comparison, its industry sports an average P/E of 12.43. Over the past year, CPRI's Forward P/E has been as high as 32.82 and as low as 9.04, with a median of 12.51.
Investors will also notice that CPRI has a PEG ratio of 0.29. 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. CPRI's industry has an average PEG of 0.66 right now. Over the last 12 months, CPRI's PEG has been as high as 6.06 and as low as 0.18, with a median of 0.64.
Another notable valuation metric for CPRI is its P/B ratio of 3.26. 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 attractive against its industry's average P/B of 3.98. Within the past 52 weeks, CPRI's P/B has been as high as 4.17 and as low as 2.62, with a median of 3.53.
Tapestry (TPR - Free Report) may be another strong Retail - Apparel and Shoes stock to add to your shortlist. TPR is a # 2 (Buy) stock with a Value grade of A.
Tapestry is trading at a forward earnings multiple of 10.24 at the moment, with a PEG ratio of 0.83. This compares to its industry's average P/E of 12.43 and average PEG ratio of 0.66.
TPR's price-to-earnings ratio has been as high as 17.24 and as low as 9.81, with a median of 13.34, while its PEG ratio has been as high as 1.72 and as low as 0.80, with a median of 1.30, all within the past year.
Tapestry sports a P/B ratio of 3.34 as well; this compares to its industry's price-to-book ratio of 3.98. In the past 52 weeks, TPR's P/B has been as high as 4.54, as low as 2.94, with a median of 3.69.
These are only a few of the key metrics included in Capri Holdings and Tapestry strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, CPRI and TPR look like an impressive value stock at the moment.