PVH Corp. (PVH) vs Ermenegildo Zegna N.V. (ZGN)

PVH Corp. and Ermenegildo Zegna N.V. are both Apparel Manufacturing companies. Ermenegildo Zegna N.V. is the larger, with a market value of $5.3B against $3.7B — 1.4× the size. Ermenegildo Zegna N.V. has the higher net margin (−1.64% vs −1.89%) and the lower return on invested capital (0.00% vs 3.74%). Both pay a dividend; Ermenegildo Zegna N.V. yields more (0.94% vs 0.18%). Across the 19 metrics below, Ermenegildo Zegna N.V. leads on 11 and PVH Corp. on 8.

Valuation

Metric PVH ZGN Apparel Manufacturing median
P/E n/m n/m 17.44
P/S 0.42 0.77 0.45
P/B 0.78 2.00 1.45
Price to free cash flow 4.97 4.88 7.97
EV/EBITDA 4.75 n/m 8.45
EV/Sales 0.56 0.77 0.57
Earnings yield (4.56%) (1.16%) 0.00%
Free cash flow yield 20.11% 20.49% 10.15%

Profitability

Metric PVH ZGN Apparel Manufacturing median
Gross margin 58.78% 0.00% 48.31%
Operating margin 4.07% 0.00% 2.46%
Net margin (1.89%) (1.64%) (0.46%)
Free cash flow margin 8.44% 0.00% 5.26%
Return on equity (3.50%) 0.00% 4.29%
Return on assets (1.47%) 0.00% 0.00%
Return on invested capital 3.74% 0.00% 0.00%

Growth

Metric PVH ZGN Apparel Manufacturing median
Revenue growth (TTM) 1.64% — 0.02%
EPS growth (last fiscal year) (95.08%) 34.37% (7.11%)
Revenue growth, 5-year CAGR 4.64% 7.10% 6.36%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric PVH ZGN Apparel Manufacturing median
Debt to equity 0.47 0.20 0.23
Current ratio 1.65 1.47 1.81
Net debt to EBITDA 1.10 0.07 (0.43)

Dividend

Metric PVH ZGN Apparel Manufacturing median
Dividend yield 0.18% 0.94% 2.11%
Payout ratio — — 0.41

Size

Metric PVH ZGN Apparel Manufacturing median
Market cap 3.74b 5.31b 381.64m

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