Is Movado Group, Inc. overvalued or undervalued?

As of 30 May 2024, the valuation grade for Movado Group, Inc. has moved from attractive to very attractive, indicating a positive shift in its perceived value. The company is currently considered undervalued. Key ratios include a P/E ratio of 22, a Price to Book Value of 0.88, and an EV to EBITDA of 8.28, which suggest that the stock is trading at a discount relative to its earnings and book value.
In comparison to its peers, Movado Group, Inc. has a more favorable P/E ratio than Hanesbrands, Inc. at 8.93 and Fossil Group, Inc. which has a negative P/E ratio. Additionally, Movado's EV to EBITDA ratio of 8.28 is significantly lower than Fossil's 25.47, further supporting the undervaluation thesis. Despite recent underperformance against the S&P 500, with a year-to-date return of -23.22% compared to the index's 2.44%, the fundamental metrics suggest that Movado Group, Inc. presents a compelling investment opportunity.