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Zacks Value Trader Highlights: AbbVie, The Andersons and Ingredion

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For Immediate Release

Chicago, IL – January 21, 2022 – Zacks Value Trader is a podcast hosted weekly by Zacks Stock Strategist Tracey Ryniec. Every week, Tracey will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life. To listen to the podcast, click here: https://www.zacks.com/stock/news/1854841/3-value-stocks-breaking-out-in-2022)

3 Value Stocks Breaking Out in 2022

Welcome to Episode #265 of the Value Investor Podcast.

  • (0:30) - Recap of Last Weeks Episode
  • (5:45) - Finding Value Stocks With Room To Run: Growth and Value
  • (15:35) - Tracey’s Top Stock Picks
  • (26:00) - Episode Roundup: CMA, CROX, ABBV, ANDE, INGR,
  •                Podcast@Zacks.com

 

Every week, Tracey Ryniec, the editor of Zacks Value Investor portfolio, shares some of her top value investing tips and stock picks.

While the growth stocks continue to sell off, many value investors may be starting to look at some and think they are bargains.

But 2022 is not the same market conditions as 2020 and 2021. Instead of loosening, the Federal Reserve will be tightening. And with rates rising, what stocks you want to own will change.

In 2022, investors should be owning companies with earnings and sales.

Screening for Value Stocks Near Their Highs

Instead of trying to time the market for when the growth stocks will be bargains, why not buy value stocks that are breaking out?

You can find the break outs by screening for stocks within 10% of their 52-week highs.

Additionally, adding the Zacks Ranks of #1 (Strong Buy) and #2 (Buy) should get you rising earnings estimates.

And adding the Zacks Style Score for Value of A, which is the highest score, will also get you traditional value stocks with strong value fundamentals.

This screen returned 31 stocks.

3 Value Stocks Breaking Out in 2022

1.       AbbVie (ABBV - Free Report)

AbbVie is a large pharmaceutical company with a market cap of $241 billion.

During volatile times, it’s often considered a safe haven stock because it pays a big dividend, currently yielding 4.1%.

Shares have gained 25.9% over the last 3 months and have hit new all-time highs.

AbbVie is still cheap, even with the rally, as it trades with a forward P/E of just 9.7.

Earnings are expected to jump another 11.2% in 2022 after rising 20% in 2021.

Does AbbVie have more left in the tank in 2022?

2.       The Andersons (ANDE - Free Report)

The Andersons operates in three areas: trading, biofuels and plant nutrients. It operates 70 grain terminals throughout the United States.

This small-cap company is based in Ohio. With agriculture heating up, The Andersons is expected to grow its 2021 earnings by 2,966% to $2.76.

Shares are up 52% over the last year and hit a new 52-week high.

Yet The Andersons is still attractively priced with a forward P/E of 16.8.

It also pays a dividend, currently yielding 1.9%.

Will The Andersons be able to continue on the strong agriculture wave in 2022?

3.       Ingredion (INGR - Free Report)

Ingredion is an ingredient solutions company that specializes in bakery, dairy, beverage and plant-based meat alternatives.

Even though Ingredion has a market cap of $6.7 billion, it is lightly covered on Zacks and only has one estimate for the 2021 and 2022 full year.

Earnings are expected to rise 10.9% in 2021 and another 4.6% in 2022.

Ingredion shares are up 29% to new 52-week highs over the last year. They have even gained in 2022, adding 4%, while the major indexes have taken a tumble and are in the red.

Ingredion is still cheap, even though it’s at new highs, with a forward P/E of 13.9.

Is it time to buy this Zacks Rank #2 (Buy) ingredient company?

What Else Should You Know About Value Stocks that are Breaking Out?

Tune into this week’s podcast to find out.

[In full disclosure, Tracey owns shares of ABBV in her personal portfolio.]

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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.


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The Andersons, Inc. (ANDE) - free report >>

Ingredion Incorporated (INGR) - free report >>

AbbVie Inc. (ABBV) - free report >>

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