Is Zacks Reliable? Your Questions Answered
Many investors searching for stock investment research discover Zacks.com and wonder: Is Zacks reliable?
As you’ll see in this brief overview, Zacks has proven to be a trusted source for expert investing recommendations and powerful tools.
Why the Zacks Rank Should Be Part of your Investing Strategy
Through good markets and bad, Zacks has helped investors achieve their financial goals. The Zacks Rank enables investors to take advantage of trends in earnings estimates.
It is a unique, proprietary stock-rating model that utilizes earnings estimate revisions to help investors build a winning portfolio. There are four main factors behind the Zacks Rank: Agreement, Magnitude, Upside, and Surprise, and each one is given a raw score that’s recalculated every night, then compiled into the Zacks Rank. Using this data, stocks are classified into five groups, ranging from “Strong Buy” to “Strong Sell.”
Since its development in 1988, the Zacks Rank system has outperformed the market in 27 out of 33 years. In that time, it has averaged a return of +25.6% per year – more than double the S&P 500’s +11.3%.
An annual gain of +25.6% is more exciting than it may sound. Think of it this way: If you had invested $10,000 in 1988, it would have grown into more than $20 million dollars. The same investment in the S&P would only give you about $350,000.
Image Source: Zacks Investment Research
Because of this performance, Investars, an independent rating organization, has consistently placed Zacks among the Top 5 providers of Quantitative Investment Research.
Zacks’ research is also among the most widely used investment research platforms on the web today. It’s regularly cited by NASDAQ, MarketWatch, Yahoo! Finance and many more.
Is Zacks Worth It?
Investors get plenty of free content on Zacks.com, including exclusive, up-to-date commentary, Bull and Bear of the Day and more. With a free Profit from the Pros membership, they get access to Zacks’ Portfolio Tracker, Stock Screener and email alerts
.For those interested in live buy and sell recommendations of stocks, EFTs and even options, you can start a 30-day Zacks Ultimate trial and see every pick from all Zacks trading and investing services for just $1.
Plus, Zacks offers a satisfaction guarantee and a performance guarantee. If you’re not beating the market or if you’re unsatisfied for any other reason, you have 90 days to request a refund.
Zacks Investment Research was founded in 1978 to analyze brokerage research for both institutional and individual investors.
The founder and CEO of Zacks spent many years on Wall Street testing statistical models to uncover ways to beat the market. His research led to the discovery that earnings estimate revisions are the most powerful force impacting stock prices.
This breakthrough became the foundation of the Zacks Rank.
After decades of posting market-beating returns, Zacks’ value and brand speak for themselves. If you’re ready to build a successful investment portfolio using our powerful tools and stock market strategies, become a member today.