September has a reputation for being the worst month for stocks, and this past week has confirmed that stereotype with markets around the world taking a beating. As the odds for a Fed rate hike continue to climb, this bloody September might not be over, and that means investors need to look for stocks that are resisting this sell-off.
Interestingly enough, the list of stocks that have been green this week includes a few from the Zacks Rank #1 (Strong Buy) list. Our proven Zacks Rank system gives us an idea of the strength of these companies over the next one to three months, and the additional factors driving them higher in the face of this week’s sell-off further highlight their quality.
Check out how these three stocks performed this week and find out why they might continue to climb higher:
1. Copa Holdings (CPA - Free Report)
Copa Holdings is a leading Latin American airliner that operates through its Copa Airlines and AeroRepublica subsidiaries. The company has been riding the momentum of its recent announcement that August traffic increased by 13.2%, and shares have gained about 8% since Monday morning.
After surpassing the Zacks Consensus Estimate by 28 cents in its most recent report, Copa Holdings saw its current-quarter estimate gain 24 cents shortly after the earnings announcement. With the news of its increased traffic, that estimate has gained another four cents in the past week. We expect to see Copa Holdings post impressive earnings growth of 34% this quarter.
2. Finisar Corporation
Finisar is a provider of fiber optic systems which enable high-speed data communications over LANs, SANs, and MANs. Shares of Finisar have gained more than 13% this week after the company posted strong earnings results on Friday.
The company beat the Zacks Consensus Estimate by over 28%, and analysts were quick to adjust their current-quarter estimates to match its recent results. Over the past week, we’ve seen two positive revisions, bringing Finisar’s current Zacks Consensus Estimate 17 cents higher. Our consensus estimates now indicate that Finisar could see earnings growth of 144% on revenue growth of 15% this year, which means its recent momentum shows no signs of stopping.
3. Lifeway Foods (LWAY - Free Report)
Lifeway Foods is a producer and distributer of “Kefir,” a yogurt-like fermented milk drink in the U.S. After positing impressive profits recently, Lifeway has been on an incredible run, and that momentum continued this week as shares are up over 9% since Monday’s opening price.
In the last 30 days, the company has seen two positive estimate revisions and its Zacks Consensus Estimate has gained five cents in that time. With our consensus estimates calling for earnings growth of 216% and revenue growth of 8.44% this year, it makes sense that Lifeway’s stock continues to gain.
Bottom Line
While we certainly aren’t in a bear market right now, September—and this week in particular—has been rough for most stocks. With that said, there are solid winners out there waiting to be found. These Zacks Rank #1 (Strong Buy) stocks have everything it takes to keep climbing in the face of tougher market conditions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
September has a reputation for being the worst month for stocks, and this past week has confirmed that stereotype with markets around the world taking a beating. As the odds for a Fed rate hike continue to climb, this bloody September might not be over, and that means investors need to look for stocks that are resisting this sell-off.
Interestingly enough, the list of stocks that have been green this week includes a few from the Zacks Rank #1 (Strong Buy) list. Our proven Zacks Rank system gives us an idea of the strength of these companies over the next one to three months, and the additional factors driving them higher in the face of this week’s sell-off further highlight their quality.
Check out how these three stocks performed this week and find out why they might continue to climb higher:
1. Copa Holdings (CPA - Free Report)
Copa Holdings is a leading Latin American airliner that operates through its Copa Airlines and AeroRepublica subsidiaries. The company has been riding the momentum of its recent announcement that August traffic increased by 13.2%, and shares have gained about 8% since Monday morning.
After surpassing the Zacks Consensus Estimate by 28 cents in its most recent report, Copa Holdings saw its current-quarter estimate gain 24 cents shortly after the earnings announcement. With the news of its increased traffic, that estimate has gained another four cents in the past week. We expect to see Copa Holdings post impressive earnings growth of 34% this quarter.
2. Finisar Corporation
Finisar is a provider of fiber optic systems which enable high-speed data communications over LANs, SANs, and MANs. Shares of Finisar have gained more than 13% this week after the company posted strong earnings results on Friday.
The company beat the Zacks Consensus Estimate by over 28%, and analysts were quick to adjust their current-quarter estimates to match its recent results. Over the past week, we’ve seen two positive revisions, bringing Finisar’s current Zacks Consensus Estimate 17 cents higher. Our consensus estimates now indicate that Finisar could see earnings growth of 144% on revenue growth of 15% this year, which means its recent momentum shows no signs of stopping.
3. Lifeway Foods (LWAY - Free Report)
Lifeway Foods is a producer and distributer of “Kefir,” a yogurt-like fermented milk drink in the U.S. After positing impressive profits recently, Lifeway has been on an incredible run, and that momentum continued this week as shares are up over 9% since Monday’s opening price.
In the last 30 days, the company has seen two positive estimate revisions and its Zacks Consensus Estimate has gained five cents in that time. With our consensus estimates calling for earnings growth of 216% and revenue growth of 8.44% this year, it makes sense that Lifeway’s stock continues to gain.
Bottom Line
While we certainly aren’t in a bear market right now, September—and this week in particular—has been rough for most stocks. With that said, there are solid winners out there waiting to be found. These Zacks Rank #1 (Strong Buy) stocks have everything it takes to keep climbing in the face of tougher market conditions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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