ZACKS·2025-11-20 17:41Core Insights - Investors are evaluating Kontoor Brands (KTB) and Cintas (CTAS) for potential undervalued stock opportunities [1] Group 1: Zacks Rank and Earnings Outlook - KTB has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while CTAS has a Zacks Rank of 3 (Hold) [3] - The Zacks Rank emphasizes recent positive revisions to earnings estimates, suggesting KTB's improving earnings outlook [3] Group 2: Valuation Metrics - KTB's forward P/E ratio is 12.59, significantly lower than CTAS's forward P/E of 38.01 [5] - KTB has a PEG ratio of 1.57, while CTAS has a PEG ratio of 3.17, indicating KTB is more favorably valued in terms of expected earnings growth [5] - KTB's P/B ratio is 7.27 compared to CTAS's P/B of 15.55, further highlighting KTB's relative valuation advantage [6] Group 3: Value Grades - KTB holds a Value grade of B, while CTAS has a Value grade of F, indicating KTB is currently the superior value option based on various valuation metrics [6]