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3 Stocks With Upgraded Broker Ratings for Robust Returns
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With near-term recession fears and still high inflation, investors are wary about entering the market. Though the Federal Reserve has paused interest rate hikes, it has hinted at raising the rates further and keeping those at a high level longer to bring down inflation.
Higher rates will likely lead to a recession/economic slowdown in the latter part of 2023 or early 2024. Under such a scenario, it is difficult for individual investors to pick stocks independently and generate solid returns.
One way to choose the right stocks in the current situation is to follow rating upgrades by brokers. In this regard, stocks like Abcam plc , Maxeon Solar Technologies, Ltd. (MAXN - Free Report) and Allegiant Travel Company (ALGT - Free Report) are worth a look.
As brokers directly communicate with the top management, they have a deeper insight into what is happening in a particular company. They accurately evaluate companies’ publicly available documents and even attend conference calls.
Brokers have more understanding of the overall sector and industry. They place company fundamentals against the current economic backdrop to determine how a particular stock will fare as an investment.
Hence, when brokers upgrade a stock, you can rely on their judgment. But solely depending on broker upgrades is not a good way to build your investment portfolio. Several other factors should be taken into consideration to ensure steady returns.
Selecting 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 trade 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: Despite good or bad market conditions, 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 three stocks that qualified for the screening:
Cambridge, U.K.-based Abcam is a life science company. It largely focuses on identifying, developing and distributing reagents and tools for scientific research, diagnostics and drug discovery.
ABCM’s earnings for 2023 are expected to increase 40%. Abcam, currently carrying a Zacks Rank #2, has witnessed a 20% upward revision in broker ratings over the past four weeks.
Headquartered in Singapore, Maxeon Solar designs, manufactures, markets and sells solar panels and related solar system components.
Maxeon Solar’s 2023 earnings are projected to soar 101.7%. MAXN, carrying a Zacks Rank #2 at present, has witnessed a 7.9% upward revision in broker ratings over the past four weeks.
Allegiant Travel, based in Las Vegas, NV, through its subsidiary Allegiant Air LLC, operates a low-cost passenger airline. It mainly focuses on linking leisure travelers in small and medium-sized cities to world-class leisure destinations.
Allegiant Travel’s 2023 earnings are projected to surge 192%. ALGT, sporting a Zacks Rank #1 at present, has witnessed a 10% 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.
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.
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3 Stocks With Upgraded Broker Ratings for Robust Returns
With near-term recession fears and still high inflation, investors are wary about entering the market. Though the Federal Reserve has paused interest rate hikes, it has hinted at raising the rates further and keeping those at a high level longer to bring down inflation.
Higher rates will likely lead to a recession/economic slowdown in the latter part of 2023 or early 2024. Under such a scenario, it is difficult for individual investors to pick stocks independently and generate solid returns.
One way to choose the right stocks in the current situation is to follow rating upgrades by brokers. In this regard, stocks like Abcam plc , Maxeon Solar Technologies, Ltd. (MAXN - Free Report) and Allegiant Travel Company (ALGT - Free Report) are worth a look.
As brokers directly communicate with the top management, they have a deeper insight into what is happening in a particular company. They accurately evaluate companies’ publicly available documents and even attend conference calls.
Brokers have more understanding of the overall sector and industry. They place company fundamentals against the current economic backdrop to determine how a particular stock will fare as an investment.
Hence, when brokers upgrade a stock, you can rely on their judgment. But solely depending on broker upgrades is not a good way to build your investment portfolio. Several other factors should be taken into consideration to ensure steady returns.
Selecting 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 trade 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: Despite good or bad market conditions, 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 three stocks that qualified for the screening:
Cambridge, U.K.-based Abcam is a life science company. It largely focuses on identifying, developing and distributing reagents and tools for scientific research, diagnostics and drug discovery.
ABCM’s earnings for 2023 are expected to increase 40%. Abcam, currently carrying a Zacks Rank #2, has witnessed a 20% upward revision in broker ratings over the past four weeks.
Headquartered in Singapore, Maxeon Solar designs, manufactures, markets and sells solar panels and related solar system components.
Maxeon Solar’s 2023 earnings are projected to soar 101.7%. MAXN, carrying a Zacks Rank #2 at present, has witnessed a 7.9% upward revision in broker ratings over the past four weeks.
Allegiant Travel, based in Las Vegas, NV, through its subsidiary Allegiant Air LLC, operates a low-cost passenger airline. It mainly focuses on linking leisure travelers in small and medium-sized cities to world-class leisure destinations.
Allegiant Travel’s 2023 earnings are projected to surge 192%. ALGT, sporting a Zacks Rank #1 at present, has witnessed a 10% 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