Friday - November 10, 2006
 Want to view the archive of past issues? Click here. Manage Profit from the Pros subscription: 1. ZACKS RANK BUY STOCKS Zacks #1 Ranked stocks average a 32.4% annual return. Every day on Zacks.com we highlight four new Zacks Rank Buy stocks. Each individual stock is chosen based on how well they match the criteria for the four main schools of investing: Aggressive Growth, Momentum, Growth & Income and Value.
Aggressive Growth – Buffalo Wild Wings (BWLD) Buffalo Wild Wings (BWLD) has exceeded earnings estimates in 10 out of the past 11 quarters, with the other quarter meeting expectations. Seven analysts have raised their forecasts for this year, while six have done so for next year. Over the past month, this year's estimates have jumped 11% to $1.61 per share, while next year's numbers have increased 12% to $1.96 per share. Read the full analysis on BWLD now! Allegheny Technologies Incorporated (ATI), already featured twice in the past as a Growth and Income stock, continues to perform quite well. The company is still a Zacks #1 Rank stock due to its strong history of earnings per share surprises coupled with earnings estimates trending higher. ATI recently beat the Street’s third-quarter estimate by 17.0%. The company’s return on equity, a common measure of profitability, doubles that of the industry average—50% compared to 25%. Read the full analysis on ATI now! More...
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Mettler-Toledo (MTD) reported earnings for the Sep 2006 quarter on Nov 2. MTD announced EPS at $1.10 for the quarter, compared with 72 cents in the same quarter last year. The result was also a positive 36% surprise above the consensus earnings estimate. In fact, MTD has a habit of delivering positive earnings surprises, having done so the last 13 straight quarters. Read the full analysis on MTD now! GulfMark Offshore, Inc. (GMRK), a Zacks #1 Rank stock, recently beat the Street’s third-quarter earnings estimate by an impressive 80.7%. The company also posted record revenues for the quarter. Consensus estimates have shot upward since the company announced its third-quarter results. GMRK has a price-to-book ratio of 1.8, compared to 4.8 for the market. Read the full analysis on GMRK now!
2. PROFIT TRACKS Zacks.com is proud to share with you some of the best trading
strategies that truly allow you to Profit from the Pros. Today
we highlight... Profit Tracks: Upgrades and Revisions This strategy focuses primarily on Positive EPS Estimate Revisions and Brokerage Rating Upgrades. Over the last 20 years Zacks Investment Research has proven that earnings estimate revisions are the most powerful force driving stock prices. Studies have also shown that stocks receiving upward EPS revisions tend to receive additional upward revisions in the future. Then consider that stocks receiving these upward revisions generally have brokers upgrading their Ratings, which is also a proven mover of stock prices. There are other parameters to this strategy, but the Rating Upgrades and positive EPS Revisions are the two powerful active ingredients. Here are four stocks that make the grade for the Upgrades and Revisions Profit Track: Anaren Inc. (ANEN), a Zacks #1 Rank (Strong Buy) company, recently announced fiscal firs-quarter earnings of 22 cents per share. The result outpaced last year’s 13 cents and exceeded the consensus estimate of 18 cents. The company’s earnings guidance for the second quarter currently stands at 20 cents to 23 cents per share. Wall Street is currently forecasting 22 cents, which is up 10% from one month-ago estimates. ANEN experienced earnings per share growth of approximately 67% over the past five years. Continue your research on ANEN now! Bell Microproducts Inc. (BELM) recently reported third-quarter GAAP earnings of eight cents per share, which is the same as the year-prior GAAP earnings per share. The earnings result was one penny ahead of analyst expectations. The company noted that it achieved a new third-quarter revenue record this year, and at the same time it made progress in improving profitability. During the past five years, BELM’s earnings per share grew almost 50%. Continue your research on BELM now! Interactive Data Corp. (IDC) satisfies the criteria for this Profit Track as evidenced by its earnings per share growth of 45% over the past five years. The company recently posted third-quarter earnings of 28 cents per share, eclipsing the previous year’s 24 cents and surpassing the consensus estimate by 12%. IDC said its results were very strong due to a combination of excellent new sales, lower cancellation levels and careful control on spending. Continue your research on IDC now! IPSCO Inc. (IPS) currently boasts the highest five-year growth rate under this Profit Track. The company’s earnings per share grew nearly 590% over the past five years. IPS recently released third-quarter earnings of $4.15 per share, jumping ahead of the consensus estimate by about 16% and outperforming the year-ago result. IPS commented that record sales volume and higher margins driven by record average product pricing pushed earnings above the high end of the company’s guidance for the quarter. Continue your research on IDC now! To see the full list of stocks that currently pass this winning screen, click here. All the Profit Track strategies were created and backtested using the Research Wizard software from Zacks Investment Research. If you like this screening strategy, but want to narrow down the list of stocks and even improve the performance, then you should start a free trial to this powerful stock picking tool. Learn more about the Research Wizard free trial offer and our new special report “Top 10 Stock Screening Strategies.” - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Screening for Stocks to Pick the Right Options Kevin Matras shows how a good stock screener can be your best tool for picking options. More... 3. ZACKS EQUITY RESEARCH From possible changes in negotiating drug prices for Medicare to possible future governmental regulations, we were interested in finding out how the shift in congressional power toward the Democratic Party will affect the overall stock market. Zacks writer Mark Vickery spoke with Senior Market Analyst Charles Rotblut, CFA and Director of Equity Research Dirk van Dijk, CFA for their impressions. MV: We have about all of the mid-term election results in. What are your initial thoughts? CR: The performance of the Democratic Party was a surprise. Democrats were expected to take control of the House, but not by such a notable margin. And winning control the Senate was within the realm of possibilities, but not a certainty. More. . .
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - The change in power is an interesting dynamic. We have a lame duck President, ideologues in both parties and real problems that cannot be solved overnight. The Democrats are going to need to get help from the other side of the aisle and find middle ground with the White House. Whether this can be done, however, is a big question. DvD: Well, historically the markets have done much better when the Democrats have control than when the GOP does. The one exception to this is the opposite of what we have now – the market has done best when there is a Democratic President and a GOP Congress, rising at 9.6% per year. The worst of all worlds historically is what we just lived through, total GOP control, when it has gone up an average of only 1.5%. Historically, the combination of a GOP President and a Democratic Congress has led to average gains of 6.4% a year, or over 4x the gains seen under an all-GOP scenario. Thus I see the results as being very good news for the market going forward. MV: Which industries do you expect will be the big winners and losers? DvD: I think the pollution control industry will benefit from a lot more emphasis on issues like global warming than we had previously. Also, if we get a minimum wage increase passed, one really obvious beneficiary will be the teen retailers, like Abercrombie & Fitch (NYSE: ANF). Because although quite a few heads of households are working at or near minimum wage, an awful lot are also suburban kids. For them, this is purely discretionary income that will go get spent at the mall. As far as losers, I see tougher times ahead for the pharmaceuticals industry. We are likely to see a big effort to make the federal government able to negotiate prices for the new Medicare prescription drug plan, which could save the government tens of billions of dollars over the next several years. This will come right out of the hide of companies like Pfizer (NYSE: PFE) and Eli Lilly (NYSE: LLY). CR: Democrats are likely to try and change laws to have more drugs imported from Canada. We’re already seeing a trend going on with major insurance HMOs pushing for the increased use of generics, and we’ve seen all kinds of brand-name prescription drugs come off-patent and cause increased competition from the generic drug companies. But some of these reactions we’re seeing in the market actually reflect underlying trends already going on outside the political spectrum; attributing them purely to politics might just be an easy place to lay the blame for a stock that might be declining. MV: How do you see the energy industry being affected by the changes to congressional power? CR: Certainly you should see some type of change – or at least a push for a change – in energy policy. This should have a net benefit for companies more focused on alternative fuels. But even if we see more of a push toward more environmentally friendly policy, it’s important to remember that the underlying factors supporting oil remain. Nigeria is still having problems, the Mid-East is still uncertain, and even with the Democrats in control of one or both houses of Congress, the simple fact is that the Bush administration still controls Iraq policy to large extent. And a lot of what’s going on in Iraq is out of U.S. control completely. So macro factors affecting oil should keep prices high, which is a net benefit for oil companies. DvD: I don’t expect we’ll see on the energy front anything like a windfall profits tax, but an awful lot of special tax breaks that energy companies have gotten in the past might be taken away. Will the Democrats be able to do that over Bush’s veto or maybe graft it onto some much larger packages, which would require some serious negotiation? At the margin, we might see some of that happen, but I don’t expect anything really radical like a windfall profits tax on the energy industry. Oh, and I think ANWAR is dead, too, by the way. Read the complete ANALYST INTERVIEW now. Dirk van Dijk, CFA is the Director of Zacks Equity Research. Charles Rotblut, CFA is the Senior Market Analyst for www.zacks.com. - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Analyst Blog Real-time market insights from Zacks Equity Research Analysts. Stocks featured recently include Double Eagle Petroleum (DBLE), GameStop (GME), Onyx Pharmaceuticals (ONXX) and Evergreen Solar (ESLR). To see their latest posts, click here. GameStop Corp. - Outlook Improving. For full Zacks research report, click here. H&R Block - Difficult Environment. For full Zacks research report, click here. Apparel Providing Early Holiday Cheer Positive Revisions Return Find out which stocks have been recently upgraded by Zacks Equity Research: click here. Read the reports on all of the stocks on the Zacks Equity Research Buy List: click here.
4. FEATURED EXPERTS Here we cast the spotlight on timely Featured Expert commentaries that recently appeared on Zacks.com.
Richard Moroney highlights companies with strong earnings momentum. Read his commentary and learn about some of these companies. More...
Richard Lehmann discusses Canada’s recent decision to tax trusts as corporations. Benefit from his insight and check out some corporate bonds. More...
Ron Rowland suggests that the string of negative economic news has been broken. Read his commentary and learn about a mutual fund transaction. More... OTHER TOOLS FROM ZACKS At the heart of Zacks Investment Research is the Zacks Rank investment philosophy that continues to vastly outperform the market. Our Zacks #1 Ranked (Strong Buys) have produced the following results for investors:
And just as importantly, the Zacks #5 Rank stocks (Strong Sell) List has alerted investors as to which stocks to dump from Their portfolios to avoid unnecessary losses. To truly take advantage of the Zacks Rank, you need to first understand how it works. That's why we created the free special report: "Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions". Download a free copy now to prosper in the years to come. Or view the full list of Zacks #1 Ranked stocks. FREE PORTFOLIO TRACKER Do you believe that these events affect stock prices?
If you answered yes, then how are you staying on top of these changes for your stocks? If you are one of the 45,000 investors who wake up every morning to the Daily Portfolio Updates emails from Zacks.com, then you are all set. If not, then sign up now to get this vital information sent to you daily to help take definitive action to improve your portfolio's performance. Did we mention it's free? Get started now! We hope you enjoyed this issue of "Profit from the Pros", And we look forward to visiting with you again next week. REFER-A-FRIEND If you enjoy this e-mail newsletter, then please pass it along to a friend. Simply forward them the link below to sign up for their own free subscription. If you're reading a forwarded copy, sign up for your own, so you get this wealth of information every week. Just click here. THANKS! Regards and Happy Investing, Charles Rotblut, CFA p.s. What is the mission for Zacks Profit from the Pros? Click here to find out how we will help you become a more successful investor. The Zacks Performance Rank performance is the total return of equal weighted simulated portfolios consisting of those stocks with the indicated Zacks Rank net of fees. Results reflect the reinvestment of dividends and other earnings. Simulated results do not represent actual trading and may not reflect the impact that economic and market factors might have had on decision-making if an adviser were actually managing a client's money. The S&P 500 Index is a well-known, unmanaged index of the prices of 500 large-company common stocks, mainly blue-chip stocks, selected by Standard & Poor's. The S&P 500 Index assumes reinvestment of dividends but does not reflect advisory fees. An investor cannot invest directly in an index. Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security. To contact us by mail: Zacks Investment Research To unsubscribe from receiving "Profit from the Pros" e-mail newsletter, click here. | |||||||||
- Latest News
- Most Popular
- 3 Dreamy Small-Cap Stocks
- Inside the Crash in Japan ETFs
- Correction or Summer Range Trade?
- Hitting Home Runs & Grand Slams, Not Loud Outs
- Hedge Your Portfolio with the Equity Bear ETF
- Machinery Industry Stock Outlook - May 2013
- Determining Correct Position Size with Options
- This Week's Growth & Income Stocks
- RTI: Do Stocks Tank When QE Ends?
- AWS 5/24: Making Sense of Data & Taper Talk
- PFP 5/24: America vs. the Rest of the World
Recent Quotes
| No Recent Quote currently available |
My Portfolio
|
My Portfolio Tracker One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts. Set yours up today. |
Zacks #1 Stocks on the Move 05/24/2013
| Company Name | Symbol | %Change |
|---|---|---|
| EAGLE BULK S | EGLE | 3.85% |
| UNIVL TRUCKL | UACL | 2.74% |
| E HOUSECHINA | EJ | 2.30% |
| OMEGA PROTEI | OME | 2.13% |
| ALLIANCE FIB | AFOP | 1.50% |
Quick Links
Resources
Client Support
Zacks Research is Reported On:
Zacks Investment Research
is an A+ Rated BBB
Accredited Business.
Copyright 2013 Zacks Investment Research
At the center of everything we do is a strong commitment to independent research and sharing its profitable discoveries with investors. This dedication to giving investors a trading advantage led to the creation of our proven Zacks Rank stock-rating system. Since 1986 it has nearly tripled the S&P 500 with an average gain of +26% per year. These returns cover a period from 1986-2011 and were examined and attested by Baker Tilly, an independent accounting firm.
Visit performance for information about the performance numbers displayed above.
NYSE and AMEX data is at least 20 minutes delayed. NASDAQ data is at least 15 minutes delayed.