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Is PVH (PVH) Stock Undervalued Right Now?

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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.

Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.

In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.

PVH (PVH - Free Report) is a stock many investors are watching right now. PVH is currently sporting a Zacks Rank of #2 (Buy) and an A for Value. The stock is trading with a P/E ratio of 8.73, which compares to its industry's average of 12.49. Over the last 12 months, PVH's Forward P/E has been as high as 11.78 and as low as 6.35, with a median of 9.51.

PVH is also sporting a PEG ratio of 0.76. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. PVH's PEG compares to its industry's average PEG of 1.10. Within the past year, PVH's PEG has been as high as 1.12 and as low as 0.48, with a median of 0.71.

These are only a few of the key metrics included in PVH's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, PVH looks like an impressive value stock at the moment.


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