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Zacks.com featured highlights include Costco Wholesale, Cummins and Kennametal
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For Immediate Release
Chicago, IL – June 17, 2026 – Stocks in this week’s article are Costco Wholesale Corp. (COST - Free Report) , Cummins Inc. (CMI - Free Report) and Kennametal Inc. (KMT - Free Report) .
Costco & 2 Earnings Acceleration Stocks to Watch for Solid Upside
Investors often consider consistent earnings growth to be the hallmark of a financially sound company. However, an even more powerful indicator is earnings acceleration, which can be a key driver for stock price gains. Research shows that many of the market’s top-performing stocks demonstrate earnings acceleration before their share prices start to climb upward.
To that end, Costco Wholesale Corp., Cummins Inc. and Kennametal Inc. are showing strong earnings acceleration.
Why Earnings Acceleration Often Precedes Stock Price Gains
Earnings acceleration refers to the incremental growth in a company’s earnings per share (EPS). Put simply, if a company’s quarter-over-quarter earnings growth rate increases over a given period, it can be called earnings acceleration.
In the case of earnings growth, you pay for something that is already reflected in the stock price. However, earnings acceleration helps identify stocks that haven’t yet caught investors’ attention and, once secured, will invariably lead to a rally in share price. This is because earnings acceleration considers both the direction and magnitude of growth rates.
An increasing percentage of earnings growth means that the company is fundamentally sound and has been on the right track for a considerable period. Meanwhile, a sideways percentage of earnings growth indicates a period of consolidation or slowdown, while a decelerating percentage of earnings growth may drag prices down.
The above criteria narrowed the universe of around 7,735 stocks to only 17. Here are the top three stocks:
Costco Wholesale
Costco Wholesale operates membership warehouse clubs across the United States and several international markets. Costco Wholesale has a Zacks Rank #3 (Hold). COST’s expected earnings growth rate for the current year is 13.3%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Cummins
Cummins delivers a range of power solutions worldwide, operating across five key segments, including Engine and Power Systems. Cummins has a Zacks Rank #2 (Buy). CMI’s expected earnings growth rate for the current year is 23.2%.
Kennametal
Kennametal develops and supplies advanced materials and industrial solutions, including tungsten carbide and ceramics, worldwide. Kennametal has a Zacks Rank #3. KMT’s expected earnings growth rate for the current year is 123.1%.
Why Haven't You Looked at Zacks' Top Stocks?
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can access their live picks without cost or obligation.
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
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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Zacks.com featured highlights include Costco Wholesale, Cummins and Kennametal
For Immediate Release
Chicago, IL – June 17, 2026 – Stocks in this week’s article are Costco Wholesale Corp. (COST - Free Report) , Cummins Inc. (CMI - Free Report) and Kennametal Inc. (KMT - Free Report) .
Costco & 2 Earnings Acceleration Stocks to Watch for Solid Upside
Investors often consider consistent earnings growth to be the hallmark of a financially sound company. However, an even more powerful indicator is earnings acceleration, which can be a key driver for stock price gains. Research shows that many of the market’s top-performing stocks demonstrate earnings acceleration before their share prices start to climb upward.
To that end, Costco Wholesale Corp., Cummins Inc. and Kennametal Inc. are showing strong earnings acceleration.
Why Earnings Acceleration Often Precedes Stock Price Gains
Earnings acceleration refers to the incremental growth in a company’s earnings per share (EPS). Put simply, if a company’s quarter-over-quarter earnings growth rate increases over a given period, it can be called earnings acceleration.
In the case of earnings growth, you pay for something that is already reflected in the stock price. However, earnings acceleration helps identify stocks that haven’t yet caught investors’ attention and, once secured, will invariably lead to a rally in share price. This is because earnings acceleration considers both the direction and magnitude of growth rates.
An increasing percentage of earnings growth means that the company is fundamentally sound and has been on the right track for a considerable period. Meanwhile, a sideways percentage of earnings growth indicates a period of consolidation or slowdown, while a decelerating percentage of earnings growth may drag prices down.
The above criteria narrowed the universe of around 7,735 stocks to only 17. Here are the top three stocks:
Costco Wholesale
Costco Wholesale operates membership warehouse clubs across the United States and several international markets. Costco Wholesale has a Zacks Rank #3 (Hold). COST’s expected earnings growth rate for the current year is 13.3%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Cummins
Cummins delivers a range of power solutions worldwide, operating across five key segments, including Engine and Power Systems. Cummins has a Zacks Rank #2 (Buy). CMI’s expected earnings growth rate for the current year is 23.2%.
Kennametal
Kennametal develops and supplies advanced materials and industrial solutions, including tungsten carbide and ceramics, worldwide. Kennametal has a Zacks Rank #3. KMT’s expected earnings growth rate for the current year is 123.1%.
Why Haven't You Looked at Zacks' Top Stocks?
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can access their live picks without cost or obligation.
See Stocks Free >>
For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/2938265/costco-2-earnings-acceleration-stocks-to-watch-for-solid-upside
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Contact: Jim Giaquinto
Company: Zacks.com
Phone: 312-265-9268
Email: pr@zacks.com
Visit: https://www.zacks.com/
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
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.