For Immediate Release
Chicago, IL – October 28, 2020 – 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: Beacon Roofing Supply, Inc. (
BECN Quick Quote BECN - Free Report) , 1-800-FLOWERS.COM, Inc. ( FLWS Quick Quote FLWS - Free Report) , RH ( RH Quick Quote RH - Free Report) , Zoom Video Communications, Inc. ( ZM Quick Quote ZM - Free Report) and Sportsman's Warehouse Holdings, Inc. ( SPWH Quick Quote SPWH - Free Report) . Here are highlights from Tuesday’s Analyst Blog: A Week to Election Day a Good Time for Stocks: 5 Picks
It’s been a topsy-turvy journey for the U.S. stock market so far in 2020. Wall Street did experience its fastest bear market in history on March 23, followed by one of the best 100-day comebacks on record. However, lately, the broader market has been facing significant risks, including trade tensions with China and election-led uncertainty.
Most importantly, coronavirus cases are on the rise, with hopes for the much-needed economic stimulus starting to fade until the outcome of the upcoming presidential election. These factors have, to some extent, dashed hopes of economic recovery and weighed on the stock market, with economically-sensitive sectors in the S&P 500 taking a beating on Oct 26.
In the United States, new cases of the coronavirus infection hit record levels. According to data from Covid Tracking Project, quoted in
The Wall Street Journal, 41,753 people were hospitalized on Oct 25, followed by 41,882 in the previous day. Particularly, in El Paso, Texas, hospitalization due to the coronavirus infection jumped to 853 in the past three-week period, compelling the government to ask residents to stay at home.
But not just in the United States, the virus has started to spread in Europe, with fresh cases being reported in Spain and Italy. Both the countries have now imposed tighter restrictions to curb the spread of the virus.
Meanwhile, yesterday, House Speaker Nancy Pelosi confirmed that there are yet no signs of a fiscal package and it seems that the implementation of the stimulus measures might remain stalled till the elections.
But there’s nothing to worry about for investors. Historically, the stock market has actually done well during the eight calendar days heading into the presidential elections. According to CFRA’s Sam Stovall, chief investment strategist, as quoted in a
MarketWatch article, the S&P 500 has on average increased 2.5% in the eight days till election since 1944. What’s more, September has been a dismal month for stocks, with the S&P 500 down nearly 3.9%. Interestingly, the S&P 500 has actually gained in October after dropping a minimum of 3.5% in September, per Dow Jones Market Data, as quoted in a MarketWatch article.
But not just historical data, there are positive factors that should eventually help the stock market scale northward into year-end. Despite the odds, the economy is widely expected to have expanded at a healthy pace in the third quarter, with consumers remaining confident about business prospects, labor market strength and overall economic outlook in the near term (read more:
US Consumers Gain Confidence in Economy: 5 Winners).
At the same time, Americans splurged heavily on big ticket items in the month of September, reflecting an uptick in consumer outlays and revival in economic conditions (read more:
Retail Sales Boom as Americans Splurge: 5 Winners). 5 Stocks to Buy for the 8-Day Run-Up to Election and Beyond
As the broader market is expected to do well heading into the election day and in all probability beyond that, it’s prudent to invest in stocks that are set to gain in the near future. These stocks flaunt a Zacks Rank #1 (Strong Buy) and a
Growth Score of A. Our research shows that stocks with a Growth Score of A when combined with a Zacks Rank #1 offer the best opportunities in the growth investing space. Here’re the picks – Beacon Roofing Supply is the largest distributor of residential and non-residential roofing materials in the United States. The Zacks Consensus Estimate for its current year earnings has moved up 9.4% over the past 60 days. The company’s expected earnings growth rate for the December quarter is 34.4%. 1800 FLOWERS.COM is a leading e-commerce provider of floral products and gifts, in terms of number of customers and revenues. The Zacks Consensus Estimate for its current-year earnings has climbed 31.7% over the past 60 days. The company’s expected earnings growth rate for the December quarter is 14.3%. RH is a leading luxury retailer in the home furnishing space. The Zacks Consensus Estimate for its current-year earnings has risen 46.8% over the past 60 days. The company’s expected earnings growth rate for the current and next quarter is 89.6% and 36.6%, respectively. You can see the complete list of today’s Zacks #1 Rank stocks here . Zoom Video provides a video-first communications platform. The Zacks Consensus Estimate for its current-year earnings has moved 95.3% north over the past 60 days. The company’s expected earnings growth rate for the current and next quarter is 733.4% and 313.3%, respectively. Sportsmans Warehouse Holdings is an outdoor sporting goods retailer. The Zacks Consensus Estimate for its current-year earnings has risen 70.3% over the past 60 days. The company’s expected earnings growth rate for the current and next quarter is 104% and 23.8%, respectively. Just Released: Zacks’ 7 Best Stocks for Today
Experts extracted 7 stocks from the list of 220 Zacks Rank #1 Strong Buys that has beaten the market more than 2X over with a stunning average gain of +24.5% per year.
These 7 were selected because of their superior potential for immediate breakout.
See these time-sensitive tickers now >>
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