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XELB vs. URBN: Which Stock Is the Better Value Option?
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Investors looking for stocks in the Retail - Apparel and Shoes sector might want to consider either XCel Brands (XELB - Free Report) or Urban Outfitters (URBN - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
XCel Brands and Urban Outfitters are both sporting a Zacks Rank of # 2 (Buy) right now. 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 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.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
XELB currently has a forward P/E ratio of 13.89, while URBN has a forward P/E of 18.62. We also note that XELB has a PEG ratio of 1.39. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. URBN currently has a PEG ratio of 1.55.
Another notable valuation metric for XELB is its P/B ratio of 0.46. 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, URBN has a P/B of 3.76.
These metrics, and several others, help XELB earn a Value grade of A, while URBN has been given a Value grade of C.
Both XELB and URBN are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that XELB is the superior value option right now.
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XELB vs. URBN: Which Stock Is the Better Value Option?
Investors looking for stocks in the Retail - Apparel and Shoes sector might want to consider either XCel Brands (XELB - Free Report) or Urban Outfitters (URBN - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
XCel Brands and Urban Outfitters are both sporting a Zacks Rank of # 2 (Buy) right now. 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 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.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
XELB currently has a forward P/E ratio of 13.89, while URBN has a forward P/E of 18.62. We also note that XELB has a PEG ratio of 1.39. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. URBN currently has a PEG ratio of 1.55.
Another notable valuation metric for XELB is its P/B ratio of 0.46. 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, URBN has a P/B of 3.76.
These metrics, and several others, help XELB earn a Value grade of A, while URBN has been given a Value grade of C.
Both XELB and URBN are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that XELB is the superior value option right now.