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Zacks Investment Ideas feature highlights: Core & Main, AppLovin and Vertiv

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For Immediate Release

Chicago, IL – April 5, 2024 – Today, Zacks Investment Ideas feature highlights Core & Main (CNM - Free Report) , AppLovin (APP - Free Report) and Vertiv (VRT - Free Report) .

3 Red-Hot Buy-Rated Stocks for Growth Investors

Growth investing is a widespread strategy deployed, with investors targeting companies expected to grow their earnings and revenues at an above-average level. It’s a development that commonly follows through to share outperformance.

These companies typically reinvest back into the business for expansion, commonly at the forefront of innovation. And for those seeking a group of strong growth stocks that have enjoyed buying pressure, Core & Main, AppLovin and Vertiv all fit the criteria.

Let’s take a closer look at each.

AppLovin

AppLovin provides a technology platform that enables developers to market, monetize, analyze, and publish their apps. Earnings expectations have melted higher across the board, landing the stock into the coveted Zacks Rank #1 (Strong Buy).

Shares saw a considerable boost following its latest set of quarterly results, with AppLovin delivering a sizable 40% beat relative to the Zacks Consensus EPS estimate and sales 3.3% ahead of expectations. Sales grew 35% year-over-year, confirming recent business momentum.

The company’s current year (FY24) outlook remains robust, with consensus expectations alluding to a 150% pop in earnings on 24% higher revenues. Peeking ahead to FY25, estimates suggest an additional 21% growth in earnings paired with a 10% sales increase.

The stock sports a Style Score of ‘B’ for Growth.

Core & Main

Core & Main is a specialized distributor of water, wastewater, storm drainage, fire protection products, and related services. The stock sports a Zacks Rank #1 (Strong Buy), with the revisions trend for its current fiscal year notably bullish, up 32% over the last year.

CNM is coming off a considerably strong FY23, with $6.7 billion in net sales and operating cash flow of $1.1 billion reflecting annual records. Concerning its current fiscal year, Zacks Consensus estimates presently suggest 20% earnings growth on 12.5% higher sales, with expectations for next year alluding to 12% earnings growth on 2.4% higher revenues.

The stock carries a Style Score of ‘A’ for Growth.

Vertiv

Vertiv provides services for data centers, communication networks, and commercial and industrial facilities with a portfolio of power, cooling, and IT infrastructure solutions and services.

Analysts have taken their earnings expectations higher across nearly all timeframes, landing the stock into a Zacks Rank #1 (Strong Buy).

Concerning its latest release, the company reported EPS of $0.56 and sales of $1.9 billion, reflecting climbs of 100% and 12%, respectively. Impressively, Vertiv has posted double-digit percentage year-over-year revenue growth rates in seven consecutive quarters, further confirming the robust demand within data center infrastructure.

The company’s next quarterly release (April 24th) shouldn’t be ignored, with consensus expectations presently suggesting a 50% pop in earnings paired with a 7% sales climb.

The stock currently boasts a Style Score of ‘A’ for Growth.

Bottom Line

For those seeking high-growth companies with bright outlooks that have enjoyed market-beating price action, all three above fit the criteria.

In addition to rock-solid growth, all three sport a favorable Zacks Rank, providing bullish fuel.

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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/performance for information about the performance numbers displayed in this press release.


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AppLovin Corporation (APP) - free report >>

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