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Are Investors Undervaluing Chico's FAS (CHS) Right Now?
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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is Chico's FAS . CHS is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock holds a P/E ratio of 5.02, while its industry has an average P/E of 11.72. Over the last 12 months, CHS's Forward P/E has been as high as 13.04 and as low as 4.98, with a median of 8.42.
Another valuation metric that we should highlight is CHS's P/B ratio of 1.92. 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. This stock's P/B looks solid versus its industry's average P/B of 2.77. Over the past 12 months, CHS's P/B has been as high as 3.28 and as low as 1.91, with a median of 2.53.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. CHS has a P/S ratio of 0.28. This compares to its industry's average P/S of 0.39.
Finally, investors should note that CHS has a P/CF ratio of 3.95. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 6.44. CHS's P/CF has been as high as 56.47 and as low as 3.48, with a median of 4.84, all within the past year.
Another great Retail - Apparel and Shoes stock you could consider is Urban Outfitters (URBN - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Urban Outfitters is currently trading with a Forward P/E ratio of 11.07 while its PEG ratio sits at 0.62. Both of the company's metrics compare favorably to its industry's average P/E of 11.72 and average PEG ratio of 0.75.
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Are Investors Undervaluing Chico's FAS (CHS) Right Now?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is Chico's FAS . CHS is currently holding a Zacks Rank of #1 (Strong Buy) and a Value grade of A. The stock holds a P/E ratio of 5.02, while its industry has an average P/E of 11.72. Over the last 12 months, CHS's Forward P/E has been as high as 13.04 and as low as 4.98, with a median of 8.42.
Another valuation metric that we should highlight is CHS's P/B ratio of 1.92. 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. This stock's P/B looks solid versus its industry's average P/B of 2.77. Over the past 12 months, CHS's P/B has been as high as 3.28 and as low as 1.91, with a median of 2.53.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. CHS has a P/S ratio of 0.28. This compares to its industry's average P/S of 0.39.
Finally, investors should note that CHS has a P/CF ratio of 3.95. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 6.44. CHS's P/CF has been as high as 56.47 and as low as 3.48, with a median of 4.84, all within the past year.
Another great Retail - Apparel and Shoes stock you could consider is Urban Outfitters (URBN - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Urban Outfitters is currently trading with a Forward P/E ratio of 11.07 while its PEG ratio sits at 0.62. Both of the company's metrics compare favorably to its industry's average P/E of 11.72 and average PEG ratio of 0.75.