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Beat the Market Like Zacks: United Airlines, NVIDIA, WANdisco in Focus

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The three most widely followed indexes ended the week in the red, wiping out the previous week’s gains. The Nasdaq Composite declined 4.7%, while the S&P 500 and the Dow Jones Industrial Average lost 4.6% and 4.4%, respectively. The S&P 500 registered its biggest weekly loss since September 2022, while the Nasdaq and the Dow posted their largest losses since November and June, respectively.

Even as economic data released through the week, especially from the labor market, indicated that inflation was slowing, the market resumed its bloodbath on fears of steeper interest rate hikes ahead. The financial sector saw a broad-based selloff late in the week with the collapse of a major bank. The crypto industry also experienced massive tremors with the failure of an important crypto-lender.

The 2-year treasury yield hit decade highs last week by crossing the 5% mark for the first time since 2007. Hawkish comments from Fed Chair Jerome Powell and the recent developments in the financial sector suggest that volatility in the markets may persist.

Regardless of market conditions, we, here at Zacks, provide investors with unbiased guidance on how to beat the market.  

As usual, Zacks Research guided investors over the past three months with its time-tested methodologies. Given the prevailing market uncertainty, you may want to look at our feats to prepare better for your next action.

Here are some of our key achievements:

WANdisco and Newcrest Mining Surge Following Zacks Rank Upgrade

Shares of WANdisco plc (WANSF - Free Report) have surged 45.7% since it was upgraded to a Zacks Rank #2 (Buy) on December 28.

Another stock, Newcrest Mining Limited (NCMGY - Free Report) , which was also upgraded to a Zacks Rank #2 on December 26,  has returned 12% since then.

Zacks Rank, our short-term rating system, has earnings estimate revisions at its core. Empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.  

This stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally audited track record, with Zacks Rank #1 stocks generating an average annual return of +24.8% since 1988.You can see the complete list of today’s Zacks Rank #1 stocks here >>>

Check WANdisco’s historical EPS and Sales here>>>

Check Newcrest Mining’s historical EPS and Sales here>>>

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Zacks Recommendation Upgrade United Airlines and Michelin Higher 

Shares of United Airlines Holdings, Inc. (UAL - Free Report) and Compagnie Générale des Établissements Michelin (MGDDY - Free Report) have advanced 32.8% and 7.3% since their Zacks Recommendation was upgraded to Outperform on December 27 and December 26, respectively.

While the Zacks Rank is our short-term rating system that is most effective over the one- to three-month holding horizon, the Zacks Recommendation aims to predict performance over the next 6 to 12 months. However, just like the Zacks Rank, the foundation for the Zacks Recommendation is trends in earnings estimate revisions.

The Zacks Recommendation classifies stocks into three groups — Outperform, Neutral and Underperform. While these recommendations are determined quantitatively, our analysts have the flexibility to override them for the 1100+ stocks they closely follow based on their better judgment of factors such as valuation, industry conditions and management effectiveness than the quantitative model.

To access our research reports with Zacks Recommendations for the 1100+ stocks we cover, click here>>>

Zacks Focus List Stocks NVIDIA, Sea Soar High

Shares of NVIDIA Corporation (NVDA - Free Report) , which belongs to the Zacks Focus List, have risen 38.6% over the past 12 weeks. The stock was added to the Focus List on May 20, 2019. Another Focus-List holding, Sea Limited (SE - Free Report) , which was added to the portfolio on March 26, 2020, has returned 36.8% over the past 12 weeks. 

The Zacks Focus List is a model portfolio of 50 hand-picked stocks that possess the right fundamental ingredients to outperform the market over the next 12 months. These 50 stocks are picked from a long list of stocks with the highest Zacks Rank.

Since its inception on February 1, 1996, the Focus List portfolio has delivered an annualized return of +12.9%.

Unlock all of our powerful research, tools and analysis, including the Focus List, Zacks #1 Rank List, Equity Research Reports, Zacks Earnings ESP Filter, Premium Screener and more, as part of Zacks Premium. Gain full access now >>

Zacks ECAP Stocks Fiserv and Tractor Supply Make Significant Gains

Fiserv, Inc. (FISV - Free Report) , a component of our Earnings Certain Admiral Portfolio (ECAP), jumped 13.4% over the past 12 weeks. Tractor Supply Company (TSCO - Free Report) followed Fiserv with 8% returns.

ECAP is a model portfolio of 30 concentrated, ultra-defensive, long-term Buy and Hold stocks. 

With little to no turnover and annual rebalance periodicity, the ECAP seeks to minimize capital loss by holding shares of companies whose earnings streams exhibit a proven 20+ year track record of surviving recessionary periods with minimal impact on aggregate earnings growth relative to the overall S&P 500.

The ECAP and many other model portfolios are available as part of Zacks Advisor Tools, a cloud-based solution to access Zacks award-winning stock, mutual fund and ETF research. Click here to schedule a demo.

Zacks ECDP Stocks C.H. Robinson, Fastenal Outperform Peers

C.H. Robinson Worldwide, Inc. (CHRW - Free Report) , which is part of our Earnings Certain Dividend Portfolio (ECDP), has returned 8.8% over the past 12 weeks. Another ECDP stock, Fastenal Company (FAST - Free Report) , has climbed 7.6% over the same time frame. Of course, the inclination of investors toward quality dividend stocks to secure an income stream amid the heightened market volatility contributed to this performance.

Check C.H. Robinson’s dividend history here>>>

Check Fastenal’s dividend history here>>>

With an extremely low Beta and a history of minimum earnings variability over the last 20+ years, this 25-stock portfolio helps significantly mitigate risk. The ECDP has consistently outperformed the S&P 500 Dividend Aristocrats ETF (NOBL - Free Report) .

Click here to access this portfolio on Zacks Advisor Tools.  

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