Dear Subscriber,
In 2007 and 2008, I was downright bullish on fertilizer stocks. Earnings estimates were rising, the Zacks Industry Rank was strong and the stocks were soaring
Now the situation has changed, with the Zacks Consensus for these stocks falling and Fertilizers ranking as one of the worst industry groups. The problem, as I explain in Industry Rank Analysis, is not so much with the companies themselves, but rather what is happening on the farm.
Read: Fertilizer's Farming Problem
At Zacks, we constantly talk about the importance of earnings estimates in driving stock prices.
But have you ever been confused by the jargon we use? Or wonder how earnings estimates are created? Steve Reitmeister covers these topics to further your understanding of how to apply earnings estimates to beat the market.
Watch: How Earnings Estimates Are Created
Wishing you prosperity,
Charles Rotblut, CFA
Senior Market Analyst & Editor,
Profit From the Pros
Today's Top Stories: Thursday- October 01, 2009
ZACKS RANK BUY STOCKS
- Aggressive Growth - Perfect World Co. (PWRD) announced second-quarter results that included revenue of over $76 million. That level is up 56% on a year-over-year basis. Profits grew proportionally to $66.5 million. Earnings per share came in at 78 cents, 28% higher than the Zacks Consensus Estimate of 61 cents. Read More...
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Growth & Income - Packaging Corporation of America (PKG) continues to see upward revisions of the Zacks Consensus Estimates. Analysts are currently calling for full-year earnings of 97 cents per share, which is up from 60 cents over the past 3 months. Read More...
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Momentum - Southern Copper Corp. (PCU) current-year estimate is up 28 cents to 93 cents per share in just the last 90 days, while the next-year estimate has added 56 cents and risen to $1.79, a bullish 92% growth projection. Read More...
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Value - Cooper Tire & Rubber Company (CTB) Covering analysts have been scrambling to raise estimates since the better than expected second quarter results. Third quarter Zacks Consensus Estimate rose 21 cents to 55 cents in the last 30 days. Analysts expect year over year earnings growth of 178.31% in 2009. Read More...
Learn how to profit from our exclusive Zacks Rank stock-ranking system with free resources. Read More...
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ZACKS MUTUAL FUND RANK
- Best of Funds: Top Utilities Equity Funds
Power up your portfolio with Van Kampen Utility A (VKUAX), Flex-funds Total Return Utilities (FLRUX) and Putnam Global Utilities A (PUGIX). Read More...
See all the great mutual fund resources.
BEST OF ZACKS EQUITY RESEARCH
- Bull Of The Day:
Alvarion Ltd. (ALVR)
Full Zacks research report: Read More...
- Bear Of The Day:
Developers Diversified (DDR)
Full Zacks research report: Read More...
- ZACKS INDUSTRY OUTLOOK: Coal Industry
Our near-term (6-18 months) outlook for the coal industry has improved somewhat from our previous neutral sentiment to a more positive undertone. Stocks covered are (BTU), (ACI), (RTP) and (WLT). Read More...
- US Bank (USB) Easing Overdraft Penalties
- Time Warner Cable (TWC) Does Wideband
- MBIA (MBI) Slashed Sub-Investment Grade
PERSONAL FINANCE: provided by Kiplinger.com
EDUCATION: Growth and Income
The Risk of High Dividend Yields Read More...
PeopleAndPicks.com:
VIP "MightyMo" is calling out Kohn. "With a very fragile economy and extremely high unemployment and a fractured housing market, the idiot comes out today with a statement. "Kohn: Fed to raise rates before spending overheats". It was the wrong thing to sa Read More...
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Regards and Happy Investing,
Charles Rotblut, CFA
Senior Market Analyst
Zacks.com
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