Concerns over tariffs and their effects on raw materials and consumer pricing are continuing to rock American stock markets. The S&P 500 is down 2% so far in 2025, putting the major index on track to document its first quarterly loss since June 2023.
The article from MSN Money discusses four consumer cyclical stocks that analysts believe are good buys due to their low price-to-earnings (P/E) ratios, suggesting they might be undervalued. These stocks include PVH Corp, known for brands like Calvin Klein and Tommy Hilfiger, which has a P/E ratio of 10.3 and is recommended for its strong brand portfolio and potential for growth. Hanesbrands Inc. follows with a P/E of 8.5, highlighted for its turnaround potential despite recent challenges. Macy's Inc. with a P/E of 4.6, is noted for its efforts in digital transformation and real estate value, making it an attractive option for value investors. Lastly, Capri Holdings Limited, with brands like Michael Kors and Versace, has a P/E of 8.4, and is seen as a buy due to its strategic positioning in the luxury market and potential for recovery. The article emphasizes that these stocks could offer significant value to investors looking for growth in the consumer cyclical sector.