Is Helen of Troy Limited (HELE) Stock Over or Undervalued?

Helen of Troy Limited (HELE) receives a strong valuation ranking of 62 from InvestorsObserver data analysis. The proprietary ranking system focuses on the underlying health of a company through analysis of its stock price, earnings, and growth rate. HELE has a better value than 62% of stocks based on these valuation analytics. Investors primarily focused on buy-and-hold strategies will find the valuation ranking relevant to their goals when making investment decisions.

HELE gets a 62 Valuation Rank today. Find out what this means to you and get the rest of the rankings on HELE!

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Metrics Analysis

HELE's trailing-12-month Price to Earnings (PE) ratio of 17.41 puts it around the historical average of roughly 15. HELE is a average value at its current trading price as investors are paying around what its worth in relation to the company's earnings. HELE's trailing-12-month earnings per share (EPS) of 5.73 does justify what it is currently trading at in the market. Trailing PE ratios, however, do not factor in a company's projected growth rate, resulting in some firms having high PE ratios due to high growth potentially enticing investors even if current earnings are low. HELE has a 12 month forward PE to Growth (PEG) ratio of 1.67. Markets are overvaluing HELE in relation to its projected growth as its PEG ratio is currently above the fair market value of 1. 5.73's PEG comes from its forward price to earnings ratio being divided by its growth rate. PEG ratios are one of the most used valuation metrics due to its incorporation of more company fundamentals metrics and a focus on the firm's future rather than its past.

Summary

All together these valuation metrics paint a pretty poor picture for HELE at its current price due to a overvalued PEG ratio despite strong growth. The PE and PEG for HELE are worse than the average of the market resulting in a valuation score of 62. Click Here to get the full Report on Helen of Troy Limited (HELE) stock.