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Are Investors Undervaluing Hugo Boss (BOSSY) Right Now?

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.

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 Hugo Boss (BOSSY). BOSSY is currently sporting a Zacks Rank of #2 (Buy) and an A for Value.

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Investors should also recognize that BOSSY has a P/B ratio of 3.62. 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. BOSSY's current P/B looks attractive when compared to its industry's average P/B of 6.27. Over the past 12 months, BOSSY's P/B has been as high as 4.24 and as low as 2.89, with a median of 3.53.

Finally, our model also underscores that BOSSY has a P/CF ratio of 6.47. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. BOSSY's current P/CF looks attractive when compared to its industry's average P/CF of 17.69. Within the past 12 months, BOSSY's P/CF has been as high as 26.23 and as low as 5.06, with a median of 6.51.

PVH (PVH) 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 8 at the moment, with a PEG ratio of 0.78. This compares to its industry's average P/E of 11.75 and average PEG ratio of 1.61.

Over the last 12 months, PVH's P/E has been as high as 11.08, as low as 5.38, with a median of 7.32, and its PEG ratio has been as high as 7.08, as low as 0.12, with a median of 0.67.

Furthermore, PVH holds a P/B ratio of 0.95 and its industry's price-to-book ratio is 6.27. PVH's P/B has been as high as 1.53, as low as 0.56, with a median of 0.87 over the past 12 months.

These are just a handful of the figures considered in Hugo Boss 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 BOSSY and PVH is an impressive value stock right now.

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Hugo Boss (BOSSY) : Free Stock Analysis Report

PVH Corp. (PVH) : Free Stock Analysis Report

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Zacks Investment Research