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Are Investors Undervaluing Levi Strauss & Co. (LEVI) 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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company value investors might notice is Levi Strauss & Co. (LEVI - Free Report) . LEVI is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 10.78. This compares to its industry's average Forward P/E of 13.88. LEVI's Forward P/E has been as high as 14.04 and as low as 9.24, with a median of 11.33, all within the past year.
Finally, we should also recognize that LEVI has a P/CF ratio of 8.32. 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 stock's P/CF looks attractive against its industry's average P/CF of 8.43. Within the past 12 months, LEVI's P/CF has been as high as 11 and as low as 7.80, with a median of 9.32.
If you're looking for another solid Retail - Apparel and Shoes value stock, take a look at Urban Outfitters (URBN - Free Report) . URBN is a # 1 (Strong Buy) stock with a Value score of A.
Urban Outfitters is trading at a forward earnings multiple of 10.43 at the moment, with a PEG ratio of 0.58. This compares to its industry's average P/E of 13.88 and average PEG ratio of 0.79.
URBN's price-to-earnings ratio has been as high as 16.59 and as low as 5.92, with a median of 10.73, while its PEG ratio has been as high as 0.92 and as low as 0.33, with a median of 0.60, all within the past year.
Additionally, Urban Outfitters has a P/B ratio of 1.36 while its industry's price-to-book ratio sits at 2.57. For URBN, this valuation metric has been as high as 1.57, as low as 1.01, with a median of 1.28 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Levi Strauss & Co. and Urban Outfitters are likely undervalued currently. And when considering the strength of its earnings outlook, LEVI and URBN sticks out as one of the market's strongest value stocks.
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Are Investors Undervaluing Levi Strauss & Co. (LEVI) 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.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company value investors might notice is Levi Strauss & Co. (LEVI - Free Report) . LEVI is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock has a Forward P/E ratio of 10.78. This compares to its industry's average Forward P/E of 13.88. LEVI's Forward P/E has been as high as 14.04 and as low as 9.24, with a median of 11.33, all within the past year.
Finally, we should also recognize that LEVI has a P/CF ratio of 8.32. 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 stock's P/CF looks attractive against its industry's average P/CF of 8.43. Within the past 12 months, LEVI's P/CF has been as high as 11 and as low as 7.80, with a median of 9.32.
If you're looking for another solid Retail - Apparel and Shoes value stock, take a look at Urban Outfitters (URBN - Free Report) . URBN is a # 1 (Strong Buy) stock with a Value score of A.
Urban Outfitters is trading at a forward earnings multiple of 10.43 at the moment, with a PEG ratio of 0.58. This compares to its industry's average P/E of 13.88 and average PEG ratio of 0.79.
URBN's price-to-earnings ratio has been as high as 16.59 and as low as 5.92, with a median of 10.73, while its PEG ratio has been as high as 0.92 and as low as 0.33, with a median of 0.60, all within the past year.
Additionally, Urban Outfitters has a P/B ratio of 1.36 while its industry's price-to-book ratio sits at 2.57. For URBN, this valuation metric has been as high as 1.57, as low as 1.01, with a median of 1.28 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that Levi Strauss & Co. and Urban Outfitters are likely undervalued currently. And when considering the strength of its earnings outlook, LEVI and URBN sticks out as one of the market's strongest value stocks.