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CROX or KTB: Which Is the Better Value Stock Right Now?
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Investors interested in stocks from the Textile - Apparel sector have probably already heard of Crocs (CROX - Free Report) and Kontoor Brands (KTB - 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.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Crocs has a Zacks Rank of #2 (Buy), while Kontoor Brands has a Zacks Rank of #3 (Hold) right now. Investors should feel comfortable knowing that CROX likely has seen a stronger improvement to its earnings outlook than KTB has recently. But this is just one factor that value investors are interested in.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks 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.
CROX currently has a forward P/E ratio of 10.91, while KTB has a forward P/E of 17.05. We also note that CROX has a PEG ratio of 1.41. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. KTB currently has a PEG ratio of 2.13.
Another notable valuation metric for CROX is its P/B ratio of 5.05. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, KTB has a P/B of 12.41.
Based on these metrics and many more, CROX holds a Value grade of A, while KTB has a Value grade of C.
CROX sticks out from KTB in both our Zacks Rank and Style Scores models, so value investors will likely feel that CROX is the better option right now.
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CROX or KTB: Which Is the Better Value Stock Right Now?
Investors interested in stocks from the Textile - Apparel sector have probably already heard of Crocs (CROX - Free Report) and Kontoor Brands (KTB - 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.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Crocs has a Zacks Rank of #2 (Buy), while Kontoor Brands has a Zacks Rank of #3 (Hold) right now. Investors should feel comfortable knowing that CROX likely has seen a stronger improvement to its earnings outlook than KTB has recently. But this is just one factor that value investors are interested in.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks 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.
CROX currently has a forward P/E ratio of 10.91, while KTB has a forward P/E of 17.05. We also note that CROX has a PEG ratio of 1.41. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. KTB currently has a PEG ratio of 2.13.
Another notable valuation metric for CROX is its P/B ratio of 5.05. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, KTB has a P/B of 12.41.
Based on these metrics and many more, CROX holds a Value grade of A, while KTB has a Value grade of C.
CROX sticks out from KTB in both our Zacks Rank and Style Scores models, so value investors will likely feel that CROX is the better option right now.