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Zacks.com featured highlights include PepsiCo, UFP Industries, Carlisle Companies, Broadridge Financial and Silgan Holdings
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For Immediate Release
Chicago, IL – September 19, 2022 – Stocks in this week’s article are PepsiCo Inc. (PEP - Free Report) , UFP Industries, Inc. (UFPI - Free Report) , Carlisle Companies Inc. (CSL - Free Report) , Broadridge Financial Solutions, Inc. (BR - Free Report) and Silgan Holdings Inc. (SLGN - Free Report) .
5 Stocks with Solid Sales Growth to Shield Against Market Woes
Since the beginning of 2022, markets have been bearing the brunt of macroeconomic and geopolitical ambiguity. Amid such serious concerns, investors are wary of entering the market. However, a conventional stock picking strategy would be useful in such times for generating robust returns.
One such method is picking stocks with steady sales growth. In this regard, stocks like PepsiCo Inc., UFP Industries, Inc., Carlisle Companies Inc., Broadridge Financial Solutions, Inc. and Silgan Holdings Inc. are worth a look.
While assessing any company, revenues are often more monitored than earnings. This is because investors want to make sure whether a business has the capability of generating more sales over time to cater to an expanding customer base. Stable or declining sales growth indicates obstacles at the company. Stagnant companies may generate near-term profit but do not ensure enough growth to attract new investors.
Without solid revenue growth, bottom-line improvement may not be sustainable over thelong term. While a company can show earnings strength by lowering costs, continuous bottom-line improvement usually requires robust sales growth.
Hence, the Price-to-Sales (P/S) ratio can turn out to be a suitable metric for stock valuation. It remains a key stock selection criteria keeping in mind that management usually has limited opportunities to tamper with revenues as they can with earnings. Thus, the P/S ratio is subject to lesser manipulation than the Price-to-Earnings ratio.
Yet, sales growth alone doesn’t indicate much about a company’s future performance. So, taking into consideration a company’s cash position along with its sales number can prove to be a more dependable investment strategy. Substantial cash in hand and a steady cash flow give a company more flexibility with respect to business decisions and potential investments.
Here are five of the 18 stocks that qualified the screening:
Headquartered in Purchase, NY, PepsiCo is one of the leading global food and beverage companies. PEP’s complementary brands/businesses include Frito-Lay snacks, Pepsi-Cola beverages, Gatorade sports drinks, Tropicana juices and Quaker foods.
PepsiCo’s expected sales growth rate for 2022 is 5.6%. The stock currently carries a Zacks Rank #2.
Based in Grand Rapids, MI, UFP Industries is a holding company with its subsidiaries throughout North America, Europe, Asia and Australia. UFPI supplies wood, wood composite and other products in retail, industrial, and construction markets.
UFP Industries’ sales are expected to rise 11.4% for 2022. The stock sports a Zacks Rank #1 at present.
Based in Scottsdale, AZ, Carlisle is a diversified, global portfolio of niche brands and businesses with highly engineered and high-margin products. CSL is engaged in the design, manufacture and sale of a wide range of roofing and waterproofing products, engineered products, and finishing equipment.
Carlisle’s expected sales growth for 2022 is 39.4%. The company, at present, sports a Zacks Rank #1.
Broadridge Financial, based in Lake Success, NY, is a global financial technology company that offers investor communications and technology-driven solutions. BR is a leading producer and distributor of a variety of documents, widely used in the financial industry, including proxies, annual reports, prospectuses and trade confirmations.
Broadridge Financial’s expected sales growth rate for fiscal 2023 is 7.5%. The stock carries a Zacks Rank #2 at present.
Headquartered in Stamford, CT, Silgan Holdings is a leading supplier of rigid packaging for consumer goods products. SLGN is the largest metal-container supplier for food products in North America.
Silgan Holdings’ expected sales growth rate for 2022 is 12.8%. The stock carries a Zacks Rank #2 currently.
Get the rest of the stocks on the list and start putting this and other ideas to the test. It can all be done with the Research Wizard stock picking and backtesting software.
The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
About Screen of the Week
Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine. But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has more than doubled the market from 1988 through 2016. Its average gain has been a stellar +25% per year. See these high-potential stocks free >>.
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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Zacks.com featured highlights include PepsiCo, UFP Industries, Carlisle Companies, Broadridge Financial and Silgan Holdings
For Immediate Release
Chicago, IL – September 19, 2022 – Stocks in this week’s article are PepsiCo Inc. (PEP - Free Report) , UFP Industries, Inc. (UFPI - Free Report) , Carlisle Companies Inc. (CSL - Free Report) , Broadridge Financial Solutions, Inc. (BR - Free Report) and Silgan Holdings Inc. (SLGN - Free Report) .
5 Stocks with Solid Sales Growth to Shield Against Market Woes
Since the beginning of 2022, markets have been bearing the brunt of macroeconomic and geopolitical ambiguity. Amid such serious concerns, investors are wary of entering the market. However, a conventional stock picking strategy would be useful in such times for generating robust returns.
One such method is picking stocks with steady sales growth. In this regard, stocks like PepsiCo Inc., UFP Industries, Inc., Carlisle Companies Inc., Broadridge Financial Solutions, Inc. and Silgan Holdings Inc. are worth a look.
While assessing any company, revenues are often more monitored than earnings. This is because investors want to make sure whether a business has the capability of generating more sales over time to cater to an expanding customer base. Stable or declining sales growth indicates obstacles at the company. Stagnant companies may generate near-term profit but do not ensure enough growth to attract new investors.
Without solid revenue growth, bottom-line improvement may not be sustainable over thelong term. While a company can show earnings strength by lowering costs, continuous bottom-line improvement usually requires robust sales growth.
Hence, the Price-to-Sales (P/S) ratio can turn out to be a suitable metric for stock valuation. It remains a key stock selection criteria keeping in mind that management usually has limited opportunities to tamper with revenues as they can with earnings. Thus, the P/S ratio is subject to lesser manipulation than the Price-to-Earnings ratio.
Yet, sales growth alone doesn’t indicate much about a company’s future performance. So, taking into consideration a company’s cash position along with its sales number can prove to be a more dependable investment strategy. Substantial cash in hand and a steady cash flow give a company more flexibility with respect to business decisions and potential investments.
Here are five of the 18 stocks that qualified the screening:
Headquartered in Purchase, NY, PepsiCo is one of the leading global food and beverage companies. PEP’s complementary brands/businesses include Frito-Lay snacks, Pepsi-Cola beverages, Gatorade sports drinks, Tropicana juices and Quaker foods.
PepsiCo’s expected sales growth rate for 2022 is 5.6%. The stock currently carries a Zacks Rank #2.
Based in Grand Rapids, MI, UFP Industries is a holding company with its subsidiaries throughout North America, Europe, Asia and Australia. UFPI supplies wood, wood composite and other products in retail, industrial, and construction markets.
UFP Industries’ sales are expected to rise 11.4% for 2022. The stock sports a Zacks Rank #1 at present.
Based in Scottsdale, AZ, Carlisle is a diversified, global portfolio of niche brands and businesses with highly engineered and high-margin products. CSL is engaged in the design, manufacture and sale of a wide range of roofing and waterproofing products, engineered products, and finishing equipment.
Carlisle’s expected sales growth for 2022 is 39.4%. The company, at present, sports a Zacks Rank #1.
Broadridge Financial, based in Lake Success, NY, is a global financial technology company that offers investor communications and technology-driven solutions. BR is a leading producer and distributor of a variety of documents, widely used in the financial industry, including proxies, annual reports, prospectuses and trade confirmations.
Broadridge Financial’s expected sales growth rate for fiscal 2023 is 7.5%. The stock carries a Zacks Rank #2 at present.
Headquartered in Stamford, CT, Silgan Holdings is a leading supplier of rigid packaging for consumer goods products. SLGN is the largest metal-container supplier for food products in North America.
Silgan Holdings’ expected sales growth rate for 2022 is 12.8%. The stock carries a Zacks Rank #2 currently.
Get the rest of the stocks on the list and start putting this and other ideas to the test. It can all be done with the Research Wizard stock picking and backtesting software.
The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.
Click here to sign up for a free trial to the Research Wizard today.
For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/1981374/5-stocks-with-solid-sales-growth-to-shield-against-market-woes
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
About Screen of the Week
Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine. But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has more than doubled the market from 1988 through 2016. Its average gain has been a stellar +25% per year. See these high-potential stocks free >>.
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Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Contact: Jim Giaquinto
Company: Zacks.com
Phone: 312-265-9268
Email: pr@zacks.com
Visit: https://www.zacks.com/
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.