Investors with an interest in Textile - Apparel stocks have likely encountered both Crocs (CROX Quick QuoteCROX - Free Report) and LVMH-Moet Hennessy Louis Vuitton SA (LVMUY Quick QuoteLVMUY - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.

There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. 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.

Right now, both Crocs and LVMH-Moet Hennessy Louis Vuitton SA are sporting a Zacks Rank of # 2 (Buy). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that both of these companies have improving earnings outlooks. But this is just one factor that value investors are interested in.

Value investors also try to analyze a wide range of traditional figures and metrics to help determine whether a company is undervalued at its current share price levels.

The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.

CROX currently has a forward P/E ratio of 9.45, while LVMUY has a forward P/E of 26.09. We also note that CROX has a PEG ratio of 0.63. 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. LVMUY currently has a PEG ratio of 1.74.

Another notable valuation metric for CROX is its P/B ratio of 6.98. 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, LVMUY has a P/B of 8.26.

These are just a few of the metrics contributing to CROX's Value grade of B and LVMUY's Value grade of D.

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