Back to top

Image: Bigstock

Zacks.com featured highlights Ulta Beauty, Lamb Weston, Brigham Minerals and Black Stone Minerals

Read MoreHide Full Article

For Immediate Release

Chicago, IL – October 21, 2022 – Stocks in this week’s article are Ulta Beauty (ULTA - Free Report) , Lamb Weston (LW - Free Report) , Brigham Minerals and Black Stone Minerals (BSM - Free Report) .

4 Top Profitable Stocks to Buy Using Net Income Ratios

It’s wise to search for companies that offer sturdy returns even after meeting all operating and non-operating costs. In other words, investors should seek a profitable company over a loss-making one. Thus, we have used the concept of accounting ratios to evaluate a company’s profitability.

There is a variety of profitability ratios from which we have chosen the most successful and frequently used profitability metric to determine the bottom-line performance of a company.

To that end, Ulta Beauty, Lamb Weston, Brigham Minerals and Black Stone Minerals have been selected as the top picks with a high net income ratio.

Net Income Ratio

Net income ratio gives us the exact profitability level of a company. It reflects the percentage of net income to total sales revenues. Using net income ratio, one can determine a company’s effectiveness to meet operating and non-operating expenses from revenues. A higher net income ratio usually implies a company’s ability to generate ample revenues and successfully manage all business functions.

Here are four of the 11 stocks that qualified the screening:

Ulta Beauty is a leading beauty retailer in the United States. The 12-month net profit margin of ULTA is 12.1%.

Lamb Weston is a leading global manufacturer, marketer and distributor of value-added frozen potato products, particularly French fries, and provides a range of appetizers. The 12-month net profit margin of LW is 9.5%.

Brigham Minerals is a mineral acquisition company. The 12-month net profit margin of MNRL is 41.2%.

Black Stone Minerals is the owner of oil and natural gas minerals primarily in the United States. The 12-month net profit margin of BSM is 60.3%.

You can get the rest of the stocks on this list by signing up now for your 2-week free trial to the Research Wizard and start using this screen in your own trading. Further, you can also create your own strategies and backtest them first before taking the investment plunge.

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/1994656/4-top-profitable-stocks-to-buy-using-net-income-ratio

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 >>.

Follow us on Twitter:  https://www.twitter.com/zacksresearch

Join us on Facebook:  https://www.facebook.com/ZacksInvestmentResearch

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.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Ulta Beauty Inc. (ULTA) - free report >>

Black Stone Minerals, L.P. (BSM) - free report >>

Lamb Weston (LW) - free report >>

Published in