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CPRI or FIGS: 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 Capri Holdings (CPRI - Free Report) or Figs (FIGS - Free Report) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, Capri Holdings is sporting a Zacks Rank of #1 (Strong Buy), while Figs has a Zacks Rank of #2 (Buy). This means that CPRI's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is only part of the picture 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.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
CPRI currently has a forward P/E ratio of 11.57, while FIGS has a forward P/E of 83.57. We also note that CPRI has a PEG ratio of 0.37. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. FIGS currently has a PEG ratio of 13.33.
Another notable valuation metric for CPRI is its P/B ratio of 3.63. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, FIGS has a P/B of 15.20.
These metrics, and several others, help CPRI earn a Value grade of B, while FIGS has been given a Value grade of F.
CPRI stands above FIGS thanks to its solid earnings outlook, and based on these valuation figures, we also feel that CPRI is the superior value option right now.
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CPRI or FIGS: Which Is the Better Value Stock Right Now?
Investors looking for stocks in the Retail - Apparel and Shoes sector might want to consider either Capri Holdings (CPRI - Free Report) or Figs (FIGS - Free Report) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.
Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, Capri Holdings is sporting a Zacks Rank of #1 (Strong Buy), while Figs has a Zacks Rank of #2 (Buy). This means that CPRI's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is only part of the picture 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.
The Style Score Value grade factors in a variety of key fundamental metrics, including the popular P/E ratio, P/S ratio, earnings yield, cash flow per share, and a number of other key stats that are commonly used by value investors.
CPRI currently has a forward P/E ratio of 11.57, while FIGS has a forward P/E of 83.57. We also note that CPRI has a PEG ratio of 0.37. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. FIGS currently has a PEG ratio of 13.33.
Another notable valuation metric for CPRI is its P/B ratio of 3.63. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, FIGS has a P/B of 15.20.
These metrics, and several others, help CPRI earn a Value grade of B, while FIGS has been given a Value grade of F.
CPRI stands above FIGS thanks to its solid earnings outlook, and based on these valuation figures, we also feel that CPRI is the superior value option right now.