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Is Crocs (CROX) a Great Value Stock Right Now?

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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.

Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.

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 Crocs (CROX - Free Report) . CROX is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 9.81, which compares to its industry's average of 11.15. Over the last 12 months, CROX's Forward P/E has been as high as 12.14 and as low as 6.18, with a median of 8.68.

We should also highlight that CROX has a P/B ratio of 4.97. 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. CROX's current P/B looks attractive when compared to its industry's average P/B of 5.29. Over the past 12 months, CROX's P/B has been as high as 6.07 and as low as 3.60, with a median of 4.99.

Finally, investors should note that CROX has a P/CF ratio of 9.36. This metric focuses on a firm's operating cash flow and is often used to find stocks that are undervalued based on the strength of their cash outlook. CROX's P/CF compares to its industry's average P/CF of 22.99. Within the past 12 months, CROX's P/CF has been as high as 11.43 and as low as 6.23, with a median of 8.72.

If you're looking for another solid Textile - Apparel value stock, take a look at PVH (PVH - Free Report) . PVH is a # 2 (Buy) stock with a Value score of A.

Shares of PVH are currently trading at a forward earnings multiple of 8.20 and a PEG ratio of 0.72 compared to its industry's P/E and PEG ratios of 11.15 and 0.98, respectively.

Over the past year, PVH's P/E has been as high as 11.78, as low as 6.35, with a median of 9.51; its PEG ratio has been as high as 1.12, as low as 0.48, with a median of 1.52 during the same time period.

Additionally, PVH has a P/B ratio of 1.11 while its industry's price-to-book ratio sits at 5.29. For PVH, this valuation metric has been as high as 1.64, as low as 0.84, with a median of 1.25 over the past year.

These are just a handful of the figures considered in Crocs and PVH's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that CROX and PVH is an impressive value stock right now.


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