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HIBB vs. MNSO: Which Stock Should Value Investors Buy Now?
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Investors looking for stocks in the Retail - Apparel and Shoes sector might want to consider either Hibbett Sports or MINISO Group Holding Limited Unsponsored ADR (MNSO - 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.
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.
Right now, Hibbett Sports is sporting a Zacks Rank of #1 (Strong Buy), while MINISO Group Holding Limited Unsponsored ADR has a Zacks Rank of #4 (Sell). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that HIBB is likely seeing its earnings outlook improve to a greater extent. However, value investors will care about much more than just this.
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 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.
HIBB currently has a forward P/E ratio of 11.16, while MNSO has a forward P/E of 26.62. We also note that HIBB has a PEG ratio of 0.63. 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. MNSO currently has a PEG ratio of 1.25.
Another notable valuation metric for HIBB is its P/B ratio of 3.50. 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, MNSO has a P/B of 5.97.
Based on these metrics and many more, HIBB holds a Value grade of B, while MNSO has a Value grade of C.
HIBB stands above MNSO thanks to its solid earnings outlook, and based on these valuation figures, we also feel that HIBB is the superior value option right now.
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HIBB vs. MNSO: Which Stock Should Value Investors Buy Now?
Investors looking for stocks in the Retail - Apparel and Shoes sector might want to consider either Hibbett Sports or MINISO Group Holding Limited Unsponsored ADR (MNSO - 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.
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.
Right now, Hibbett Sports is sporting a Zacks Rank of #1 (Strong Buy), while MINISO Group Holding Limited Unsponsored ADR has a Zacks Rank of #4 (Sell). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that HIBB is likely seeing its earnings outlook improve to a greater extent. However, value investors will care about much more than just this.
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 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.
HIBB currently has a forward P/E ratio of 11.16, while MNSO has a forward P/E of 26.62. We also note that HIBB has a PEG ratio of 0.63. 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. MNSO currently has a PEG ratio of 1.25.
Another notable valuation metric for HIBB is its P/B ratio of 3.50. 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, MNSO has a P/B of 5.97.
Based on these metrics and many more, HIBB holds a Value grade of B, while MNSO has a Value grade of C.
HIBB stands above MNSO thanks to its solid earnings outlook, and based on these valuation figures, we also feel that HIBB is the superior value option right now.