For Immediate Release
Chicago, IL – July 31, 2020 - Stocks in this week’s article are Avis Budget Group (CAR - Free Report) , Diebold Nixdorf (DBD - Free Report) , Echo Global Logistics (ECHO - Free Report) , American Axle & Manufacturing Holdings (AXL - Free Report) and Century Aluminum Company (CENX - Free Report) .
5 Hot Stocks to Note Following Recent Broker Upgrades
The second-quarter earnings season is picking up the pace with hordes of companies from different sectors reporting their quarterly financial numbers. As expected, the coronavirus pandemic continues to adversely impact the overall earnings picture with some sectors being more severely dented than others.
However, it is not all gloom and doom as some signs of improvement particularly with respect to earnings outlook are visible. Moreover, multiple positive economic readings are emerging of late. For instance, the latest new home sales data indicates that sales of new single-family homes in the United States hit a 13-year high in June. On the flip side, the recent spike in coronavirus-infected cases in the country following a second wave could dim this bright prospect.
Against such a turbulent backdrop, it is very difficult for investors to design a winning portfolio of stocks without proper guidance.
Broker Advice: The Way Forward
The requisite guidance to build a promising portfolio comes from brokers. Brokers invest a lot of time in researching stocks under their coverage. Such investment specialists attend conference calls and company presentations plus interact with the top brass.
Brokers revise their earnings estimates after carefully examining the pros and cons of an event for the concerned stock. Naturally, their stock-related actions (upgrade or downgrade) serve as an invaluable indicator as far as fixing the target price of stock (s) is concerned. Reckoning their thorough understanding of the stock market as highlighted in this write-up, it will be only intelligent for investors to pay heed to brokers’ suggestions to stand in good stead.
Capitalizing on Broker Opinions
The above write-up clearly suggests that by following broker strategies, one can arrive at a lucrative portfolio of stocks. Keeping this in mind, we designed a screen to shortlist stocks based on better analyst recommendations and upward revisions to earnings estimates over the last four weeks. Also, since the price/sales ratio is a strong complementary valuation metric in the presence of analyst information, it is included as a determining factor to opt for the best bets. The price/sales ratio takes care of the company’s top line, making the plan foolproof.
For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/1025349/5-hot-stocks-to-note-following-recent-analyst-upgrades
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
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Strong Stocks that Should Be in the News
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