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The Zacks Analyst Blog Highlights: Avery Dennison, Allegion, Alarm.Com Holdings and Graco

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For Immediate Release

Chicago, IL – September 20, 2017 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Avery Dennison Corporation (NYSE:(AVY - Free Report)  Free Report), Allegion plc (NYSE:(ALLE - Free Report)  Free Report), Alarm.Com Holdings, Inc. (NASDAQ:(ALRM - Free Report)  Free Report) and Graco Inc. (NYSE:(GGG - Free Report)  Free Report).

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

Here are highlights from Tuesday’s Analyst Blog:

4 Promising Industrial Stocks to Improve Your Finances

Latest report by the Institute for Supply Management (ISM) reveals that August witnessed the strongest manufacturing activity in more than six years. The ISM Manufacturing Index was pegged at 58.8% this August, up 2.5 percentage points from July and represented the highest level recorded since April 2011.

Notably, the manufacturing index has been well above 50% in the past year. On a broader note, industrial production — a measure of the level of output of manufacturing, mining and utilities sectors in a country — grew at an annual rate of 4.7% in the second quarter. In July, industrial production climbed 2.2%, supported by 1.2% growth in manufacturing industry and 10.2% in mining, partially offset by 0.6% fall in utilities.

Also, Gross Domestic Product (GDP) of the United States grew at an annualized rate of 3% in second-quarter 2017, the strongest growth registered since first-quarter 2015. The country’s GDP in the first quarter had advanced 1.4%.

Such an upbeat reading comes at a favorable time when manufacturers have added a record number of jobs, both in the public and private sectors. This boost in jobs reflects one of the key campaign promises of the Trump administration.

With this in mind, adding stocks from the industrial sector could be a promising move for your portfolio at this moment.

Per the Earnings Preview dated Sep 15, the industrial products sector (accounting for 2.2% of the S&P 500 index’s total market capitalization) is likely to record 2.6% growth in revenues and 8.3% upside in earnings in Q3 earnings season.

What’s the Rewarding Strategy?

We believe investors will benefit by grabbing industrial stocks, as the sector is likely to perform better in the near term.

However, will it be prudent to invest on any industrial stock?

If we just stick to the script and focus on time-tested screens, we are likely to find fantastic stock ideas. And when it comes to the script, growth stocks have always narrated the most magnificent stories, haven’t they?

So, let’s get back to the game and look for those robustly growing industrial stocks which have grappled all previous market volatilities and still have a long way to go.

Through our latest Style Score System, we have narrowed down four stocks that might prove to be a boon for value investors.

Our Growth Style Score condenses all the essential metrics from a company’s financial statements to get a true sense of the quality and sustainability of its growth. Our research shows that stocks with Growth Style Score of A, when combined with a Zacks Rank #1 (Strong Buy) or #2 (Buy), offer the best investment opportunities in the growth investing space.

Our Picks

Below we discuss four hot industrial stocks with a Zacks Rank #2, and Growth Score of A. Notably, these stocks have solid growth potential for the next five years.

Avery Dennison Corporation (NYSE:(AVY - Free Report) Free Report) manufactures and sells specialized pressure-sensitive materials across the globe. The company’s earnings are anticipated to grow 7% over the next three to five years.

You can see the complete list of today’s Zacks #1 Rank stocks here.

Allegion plc (NYSE:(ALLE - Free Report) Free Report) produces and sells electronic and mechanical security solutions and products worldwide. The company’s earnings are anticipated to grow 13.8% over the next three to five years.

Alarm.Com Holdings, Inc. (NASDAQ:(ALRM - Free Report) Free Report) offers cloud-based solutions for the businesses and smart homes in the United States and other overseas end markets. The company’s earnings are anticipated to grow 16.7% over the next three to five years.

Graco Inc. (NYSE:(GGG - Free Report) Free Report), along with its subsidiaries, designs, manufactures and sells systems, and equipment used in powder and fluid materials. The company’s earnings are anticipated to grow 10.5% over the next three to five years.

4 Promising Stock Picks to Keep an Eye On

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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 nearly tripled the market from 1988 through 2015. Its average gain has been a stellar +26% per year.See these high-potential stocks free >>.

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