It seems to be a wise idea to add Carolina Financial Corporation stock to your portfolio now, given its underlying strength and good growth prospects.
Moreover, the company’s Zacks Consensus Estimate for the current-year earnings has been revised 5.6% upward over the last 30 days, reflecting analysts’ optimism regarding its earnings growth potential. As a result, the stock currently carries a Zacks Rank #2 (Buy).
Also, the company’s price performance seems impressive. Its shares jumped 30.3% in the past year, outperforming 6.2% growth of the industry.
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Given the positive estimate revision and a solid Zacks Rank, the stock is expected to gain further.
Carolina Financial has a number of other aspects that make it an attractive investment option.
Earnings per Share (EPS) Growth: In the last three-five years, Carolina Financial witnessed EPS growth of 27.5%, significantly higher than the industry average of 9.6%. Also, it has an impressive earnings surprise history, having delivered positive surprises in three of the trailing four quarters with an average beat of 6.2%.
The upward trend in earnings is expected to continue in the near term as well. The projected EPS growth for 2018 and 2019 are 39.7% and 11.1%, respectively.
Revenue Strength: Carolina Financial’s revenues have increased at a CAGR of 29.8% in the last four years (2014-2017). Also, the top line is expected to grow nearly 47.8% in 2018, much higher than the industry average of 2.9%. This indicates its superiority in generating revenues.
Strong Leverage: Carolina Financial’s debt/equity ratio is 0.15, which compares favorably with the industry average of 0.26. This indicates a lower debt burden relative to the industry and it highlights the financial stability of the company, even in an unstable economic environment.
Superior Return on Equity (ROE): Carolina Financial’s ROE is 10.36% compared with the industry average of 8.58%, reflecting its commendable position over the peers.
Other Stocks to Consider
Some other top-ranked stocks in the same space are Hancock Holding Company , American National Bankshares Inc. and Triumph Bancorp, Inc. , each carrying a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
In the last 60 days, Hancock Holding witnessed a marginal upward earnings estimate revision for the current year. Its share price increased 11.5% in the past year.
For the current year, the Zacks Consensus Estimate of American National was revised 1% upward in the last 60 days. Its share price increased 2.4% in the past year.
In the last 60 days, Triumph Bancorp witnessed an upward earnings estimate revision of nearly 1% for the current year. Its share price increased 54.1% in the past year.
Investor Alert: Breakthroughs Pending
A medical advance is now at the flashpoint between theory and realization. Billions of dollars in research have poured into it. Companies are already generating substantial revenue, and even more wondrous products are in the pipeline.
Cures for a variety of deadly diseases are in sight, and so are big potential profits for early investors. Zacks names 5 stocks to buy now.
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4 Reasons to Invest in Carolina Financial (CARO) Stock Now
It seems to be a wise idea to add Carolina Financial Corporation stock to your portfolio now, given its underlying strength and good growth prospects.
Moreover, the company’s Zacks Consensus Estimate for the current-year earnings has been revised 5.6% upward over the last 30 days, reflecting analysts’ optimism regarding its earnings growth potential. As a result, the stock currently carries a Zacks Rank #2 (Buy).
Also, the company’s price performance seems impressive. Its shares jumped 30.3% in the past year, outperforming 6.2% growth of the industry.
Given the positive estimate revision and a solid Zacks Rank, the stock is expected to gain further.
Carolina Financial has a number of other aspects that make it an attractive investment option.
Earnings per Share (EPS) Growth: In the last three-five years, Carolina Financial witnessed EPS growth of 27.5%, significantly higher than the industry average of 9.6%. Also, it has an impressive earnings surprise history, having delivered positive surprises in three of the trailing four quarters with an average beat of 6.2%.
The upward trend in earnings is expected to continue in the near term as well. The projected EPS growth for 2018 and 2019 are 39.7% and 11.1%, respectively.
Revenue Strength: Carolina Financial’s revenues have increased at a CAGR of 29.8% in the last four years (2014-2017). Also, the top line is expected to grow nearly 47.8% in 2018, much higher than the industry average of 2.9%. This indicates its superiority in generating revenues.
Strong Leverage: Carolina Financial’s debt/equity ratio is 0.15, which compares favorably with the industry average of 0.26. This indicates a lower debt burden relative to the industry and it highlights the financial stability of the company, even in an unstable economic environment.
Superior Return on Equity (ROE): Carolina Financial’s ROE is 10.36% compared with the industry average of 8.58%, reflecting its commendable position over the peers.
Other Stocks to Consider
Some other top-ranked stocks in the same space are Hancock Holding Company , American National Bankshares Inc. and Triumph Bancorp, Inc. , each carrying a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
In the last 60 days, Hancock Holding witnessed a marginal upward earnings estimate revision for the current year. Its share price increased 11.5% in the past year.
For the current year, the Zacks Consensus Estimate of American National was revised 1% upward in the last 60 days. Its share price increased 2.4% in the past year.
In the last 60 days, Triumph Bancorp witnessed an upward earnings estimate revision of nearly 1% for the current year. Its share price increased 54.1% in the past year.
Investor Alert: Breakthroughs Pending
A medical advance is now at the flashpoint between theory and realization. Billions of dollars in research have poured into it. Companies are already generating substantial revenue, and even more wondrous products are in the pipeline.
Cures for a variety of deadly diseases are in sight, and so are big potential profits for early investors. Zacks names 5 stocks to buy now.
Click here to see them >>