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Bet on These 3 Top-Ranked Stocks With Upgraded Broker Ratings

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Selecting stocks from the vast investment universe is not an easy task. For this, you will have to understand the fundamentals of every company and try to place them against the present economic background to figure out how it may fare as an investment.

One way to cut short this task is to follow broker recommendation. Brokers have more insight into what’s happening in a particular company as they directly communicate with management. Further, they have a deeper understanding of the overall industry.

Specifically, brokers scrutinize a company’s publicly available financial statements, listen to conference calls and engage in talks directly with the top management. At times, they even talk with customers to gauge what they like or dislike about the products and services offered by the company.

So, after thorough research, brokers decide to rate that particular company’s stock. However, solely depending on analysts’ upgrades is not the right way to build your investment portfolio. You should also take into consideration other factors to ensure solid returns.

Picking the Winning Strategy

We have a screening strategy that will help you in your search for potential winners:

Broker Rating Upgrades (four weeks) of 1% or more: The screen selects stocks that have witnessed broker rating upgrades of 1% or more over the last four weeks.

Current Price greater than $5: The stocks must be trading above $5.

Average 20-day Volume greater than 100,000: A large trading volume guarantees that the stock is easily tradable.

Zacks Rank equal to #1 or 2: No matter whether market conditions are good or bad, stocks with a Zacks Rank #1 (Strong Buy) or 2 (Buy) have a proven record of success. You can see the complete list of today’s Zacks #1 Rank stocks here.

VGM Score of A or B: Our research shows that stocks with a VGM Score of A or B when combined with a Zacks Rank #1 or 2 offer the best upside potential.

Here are the three stocks that qualified the screening:

Sleep Number Corporation (SNBR - Free Report) provides sleep solutions and services in the United States. This Minneapolis, MN-based company’s earnings for 2020 are projected to grow at the rate of 50.4%. The stock, sporting a Zacks Rank #1 at present, has witnessed 20% upward revision in broker ratings over the past four weeks.

Headquartered in New York, Tapestry, Inc. (TPR - Free Report) is the designer and marketer of fine accessories and gifts for women and men in the United States and internationally. Its earnings for fiscal 2021 are projected to grow at the rate of 132%. The stock, currently sporting a Zacks Rank #1, has witnessed 5.3% upward revision in broker ratings over the past four weeks.

Western Midstream Partners, LP (WES - Free Report) is engaged in gathering, processing, compressing, treating, stabilizing, and transporting natural gas, condensate, natural gas liquids and crude oil mainly in the United States. This The Woodlands, TX-based company’s earnings are projected to increase 96% for 2021. The stock, carrying a Zacks Rank #2 at present, has witnessed 20% upward revision in broker ratings over the past four weeks.

The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.

Click here to sign up for a free trial to the Research Wizard today.

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.

Disclosure: Performance information for Zacks’ portfolios and strategies are available at:
https://www.zacks.com/performance


In-Depth Zacks Research for the Tickers Above


Normally $25 each - click below to receive one report FREE:


Western Midstream Partners, LP (WES) - free report >>

Sleep Number Corporation (SNBR) - free report >>

Tapestry, Inc. (TPR) - free report >>