ZGN or ONON: Which Is the Better Value Stock Right Now?
ZACKS·2025-09-25 16:41

Core Viewpoint - The comparison between Ermenegildo Zegna N.V. (ZGN) and On Holding (ONON) indicates that ZGN presents a better value opportunity for investors in the Retail - Apparel and Shoes sector [1]. Valuation Metrics - ZGN has a forward P/E ratio of 21.43, significantly lower than ONON's forward P/E of 61.84 [5]. - The PEG ratio for ZGN is 2.20, while ONON's PEG ratio stands at 3.05, suggesting ZGN is more reasonably priced relative to its expected earnings growth [5]. - ZGN's P/B ratio is 3.58, compared to ONON's P/B of 17.01, indicating ZGN is valued more favorably against its book value [6]. Earnings Estimates - ZGN currently holds a Zacks Rank of 2 (Buy), reflecting positive earnings estimate revisions, while ONON has a Zacks Rank of 3 (Hold) [3]. - The stronger estimate revision activity for ZGN suggests an improving earnings outlook compared to ONON [7]. Value Grades - ZGN has been assigned a Value grade of B, whereas ONON has received a Value grade of F, highlighting ZGN's superior valuation metrics [6].