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Are Investors Undervaluing GIII Apparel Group (GIII) Right Now?
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Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company to watch right now is GIII Apparel Group (GIII - Free Report) . GIII is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 7.42. This compares to its industry's average Forward P/E of 11.36. Over the past year, GIII's Forward P/E has been as high as 8.20 and as low as 3.01, with a median of 5.85.
Investors should also note that GIII holds a PEG ratio of 0.47. 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. GIII's industry currently sports an average PEG of 1.07. Within the past year, GIII's PEG has been as high as 0.52 and as low as 0.20, with a median of 0.34.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. GIII has a P/S ratio of 0.35. This compares to its industry's average P/S of 0.55.
PVH (PVH - Free Report) may be another strong Textile - Apparel stock to add to your shortlist. PVH is a # 2 (Buy) stock with a Value grade of A.
PVH is trading at a forward earnings multiple of 6.68 at the moment, with a PEG ratio of 0.50. This compares to its industry's average P/E of 11.36 and average PEG ratio of 1.07.
Over the past year, PVH's P/E has been as high as 11.27, as low as 5.64, with a median of 8.11; its PEG ratio has been as high as 1.10, as low as 0.47, with a median of 0.34 during the same time period.
Additionally, PVH has a P/B ratio of 0.89 while its industry's price-to-book ratio sits at 6.39. For PVH, this valuation metric has been as high as 1.22, as low as 0.59, with a median of 1.01 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that GIII Apparel Group and PVH are likely undervalued currently. And when considering the strength of its earnings outlook, GIII and PVH sticks out as one of the market's strongest value stocks.
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Are Investors Undervaluing GIII Apparel Group (GIII) Right Now?
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One company to watch right now is GIII Apparel Group (GIII - Free Report) . GIII is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 7.42. This compares to its industry's average Forward P/E of 11.36. Over the past year, GIII's Forward P/E has been as high as 8.20 and as low as 3.01, with a median of 5.85.
Investors should also note that GIII holds a PEG ratio of 0.47. 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. GIII's industry currently sports an average PEG of 1.07. Within the past year, GIII's PEG has been as high as 0.52 and as low as 0.20, with a median of 0.34.
Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. GIII has a P/S ratio of 0.35. This compares to its industry's average P/S of 0.55.
PVH (PVH - Free Report) may be another strong Textile - Apparel stock to add to your shortlist. PVH is a # 2 (Buy) stock with a Value grade of A.
PVH is trading at a forward earnings multiple of 6.68 at the moment, with a PEG ratio of 0.50. This compares to its industry's average P/E of 11.36 and average PEG ratio of 1.07.
Over the past year, PVH's P/E has been as high as 11.27, as low as 5.64, with a median of 8.11; its PEG ratio has been as high as 1.10, as low as 0.47, with a median of 0.34 during the same time period.
Additionally, PVH has a P/B ratio of 0.89 while its industry's price-to-book ratio sits at 6.39. For PVH, this valuation metric has been as high as 1.22, as low as 0.59, with a median of 1.01 over the past year.
Value investors will likely look at more than just these metrics, but the above data helps show that GIII Apparel Group and PVH are likely undervalued currently. And when considering the strength of its earnings outlook, GIII and PVH sticks out as one of the market's strongest value stocks.