With the market rallying off the lows, there are some folks out here making a fortune. Shrewd additions can lead to outsized returns in the long run. But how do you separate solid, consistent, long-term earners from the flash in pan? One way is by leaning on the Zacks Rank. Stocks with strong Zacks Ranks have had the most consistent and positive earnings trends. This tool can help lead the way to long-term profits by finding stocks delivering solid results quarter after quarter.
Today’s Bull of the Day is a stock in a very strong industry that’s also a Zacks Rank #1 (Strong Buy). I’m talking about DRDGold (DRD - Free Report) . DRDGOLD Limited engages in surface gold tailings retreatment business in South Africa. The company's activities include exploration, extraction, processing, and smelting. It recovers gold from surface tailings in the central and western Witwatersrand basin in Gauteng province. The company was founded in 1895 and is headquartered in Rosebank, South Africa.
Gold prices have been on the move lately as the Federal Reserve has been easing across the board. Expensive government spending programs, loans and grants mean the market is being flooded with US dollars. This is helping the gold bugs anti-fiat currency trade with gold. It’s helped gold prices up north of $1,700 for the first time since 2012.
DRDGold is a Zacks Rank #1 (Strong Buy) in an industry which ranks in the Top 8% of our Zacks Industry Rank. The reason for the positive rating is the recent earnings estimate revisions coming into the upside for the company. Over the last 60 days, analysts on Wall Street have increased their estimates for the current year and next year. The bullish moves have pushed up the Zacks Consensus Estimate for the current year form 13 cents to 53 cents. Should the company hit that mark, it would post earnings growth of 562.5% over last year’s number.
More Stock News: This Is Bigger than the iPhone!
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