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This Week's Hidden Gems: (BABY)(COHR)

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Great investing opportunities exist everywhere in the stock market. But how do you find them?

Tracey Ryniec, Stock Strategist at Zacks Investment Research, discusses two hidden gems that might be worth a closer look at by investors: Natus Medical Inc. and Coherent Inc. (COHR - Free Report) .

Hidden gems are stocks that are followed only by a handful of Wall Street analysts and which the rest of the stock market doesn’t pay much attention to but they should because their fundamentals are strong.

Natus is a California-based maker of medical devices in the Neurology, Sleep, Hearing and Balance markets. One of its specialties is audio testing devices for newborns. It’s a Zacks Rank #2 (Buy) as analysts are bullish on 2017. Earnings are expected to rise 10.8%.

Coherent is a mid-cap company which makes laser systems used in numerous industries, from defense to solar to industrial uses like welding. Zacks only has one estimate so it’s really flying under the radar even though earnings are expected to jump 78% in 2016 and another 25% in 2017. It’s also a Zacks Rank #2 (Buy).

But what else should investors take away from these two companies? Watch our short video below to learn more about these hidden gems.

Get in the Know Before the Street with the Hidden Gem Videos

On Jan 5, 2017, in that week’s Hidden Gems video, Tracey discussed about the possibility of Bob Evans Farms, Inc. spinning off one or both of its business divisions.

Bob Evans had told the Street that it had hired JP Morgan to pursue possible opportunities within its business which consists of restaurants and its food business. The food business is found in thousands of supermarkets through its Bob Evans sausages, meats and refrigerated side dishes like mashed potatoes. It wasn’t keeping any of this secret.

Is shouldn’t have been a surprise, then, when it announced on January 25 that it would sell its restaurant business to a private equity firm and focus on the food side.

Shares were up over 20% on the news.

Want to be in the know? Watch the Hidden Gems videos.


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Coherent Corp. (COHR) - free report >>