Friday - February 15, 2008
![]() Dear Subscriber, The markets pulled back yesterday following Fed Chairman Ben Bernanke's speech before the Senate's banking committee. The chairman did not provide any new insight. Rather, he simply acknowledged that there are problems with the economy and indicated that the Fed "will act in a timely manner as needed to support growth and to provide adequate insurance against downside risks." I think Bernanke did what he has been doing all along -- calling things as he sees them. The Fed cut rates by 125 basis points last month and has been encouraging banks to use the discount window. Of course, everyone seems to have a different translation for "Fed-speak." That said, I thought the 175-point drop in the Dow was an overreaction to what was essentially background noise. Nothing has changed. We continue to face a credit problem (as opposed to an economic problem) and the Fed is continuing to act accordingly. It takes time for a stimulus to work its way through the system, but we will get through the current turbulence. Wishing you prosperity, 1. ZACKS RANK BUY STOCKS Zacks #1 Rank stocks average a 32% annual return. Every day on Zacks.com we highlight four new Zacks Rank Buy stocks based on the four main schools of investing: Aggressive Growth, Momentum, Growth & Income and Value. PeopleSupport (PSPT) is quite adept at exceeding analyst expectations. Over the past four quarters, it has averaged a whopping 268% surprise. Read the full analysis on PSPT now! Occidental Petroleum (OXY) posted fourth-quarter and full-year results, hitting an all-time high full-year net income total. Read the full analysis on OXY now! Brink's (BCO) reported that fourth-quarter sales rose almost 19%, while net income jumped 37%. Strong international exposure in Latin America and Europe fueled the quarter. Read the full analysis on BCO now! Bois d'Arc Energy (BDE) is a small exploration and production company. It surprised on fourth quarter analysts' estimates by 20%. Read the full analysis on BDE now!
2. BEST OF EQUITY RESEARCH The Zacks Equity Research team of 50 analysts generates a mountain of timely research every day that is geared towards long term stock investing. Here we turn the spotlight on some of their hottest insights. Recovery Issues May Linger for Banks Stocks featured recently include Caterpillar (CAT), Sanofi- Aventis (SNY), GameStop (GME) and Advance Auto Parts (AAP). To see the latest analyst posts, click here. ZymoGenetics (ZGEN) - Key FDA Approval. For the full Zacks research report, click here. Whole Foods (WFMI) - Premium Not Justified. For the full Zacks research report, click here. Aerospace Still Flying: Subprime Hitting Insurers Median EPS Solid, Total Net Income Down
3. STRATEGIES & IDEAS Here you will find fresh articles loaded with profitable investment strategies and ideas to help you beat the market. Today we highlight... Graphical Eye Candy CF Industries Holding, Inc. (CF) "Magic Numbers" and Relative Valuations "Gut Check" Time This strategy pinpoints value stocks that are also good bargains with real potential for earnings improvement. Four stocks featured include COP, CBBO, CINF and BKH. More... Most of the strategies highlighted in the articles above were created using the Zacks Research Wizard screening and backtesting software. Learn more about this powerful tool and get your free copy of our special report "Top 10 Stock Screening Strategies". More... 4. ZACKS EXTRA Steve Reitmeister, Editor-At-Large for Zacks.com, tackles the issue of cheap stocks vs. value stocks. Listen to his audio here. For for more Zacks audio, click here.
Momentum: Support and Resistance Growth & Income: Market Capitalization Aggressive Growth: There's More to Aggressive Growth than Tech Value: Checking the Price-to-Book Ratio Education Home: Click Here
Mitch Zacks, Portfolio Manager at Zacks Investment Management, discusses current stock market drivers and the economy. Listen to the audio here. For more Zacks audio, click here.
Research In Motion (RIMM) The Blackberry maker appears to be a potential bearish contrarian play. Read the complete commentary. Options homepage: Go there now.
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. THANKS! http://at.zacks.com/?id=2299 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 performance of the Zacks Rank portfolios shown above for annual and year-to-date periods are the linked monthly total returns (price changes + dividends) of equal weighted hypothetical portfolios, consisting of those stocks with the indicated Zacks Rank, assuming monthly rebalancing and zero transaction costs. These are not the returns of actual portfolios. The hypothetical portfolios were created at the beginning of each month from Jan 1988 forward based on the values of the Zacks Rank available to Zacks' clients before the beginning of each month. The portfolios created monthly from 1988 through September 2006 exclude ADRS and are comprised of stocks that have the indicated Zacks Rank and were covered by at least two analysts at the time of the stocks inclusion in the portfolio. Starting in October 2006 and going forward, the portfolios are comprised of all stocks with the indicated Zacks Rank and do not exclude ADRs, which is more reflective of the list of stocks that customers will find on the Zacks web sites. 2007 returns are for the period of Jan 1 - Jun 30, 2007. These performance numbers have been audited from 1995 through 2003 by Autschuler Melovan, a division of American Express Financial. 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. | |||||||


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