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Zacks.com featured highlights include: PepsiCo, Raymond James, Kansas City Southern, Fortive and Abbott Laboratories

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For Immediate Release

Chicago, IL – April 26, 2019 - Stocks in this week’s article are PepsiCo (PEP - Free Report) , Raymond James (RJF - Free Report) , Kansas City Southern (KSU - Free Report) , Fortive Corp. (FTV - Free Report) and Abbott Laboratories (ABT - Free Report) .

Solid Sales Growth Makes These 5 Stocks Worth Buying Now

 Investors often do not consider sales growth as a dependable metric when it comes to selecting stocks. This might be because of their preconceived notion that a company’s stock price is typically sensitive to its earnings momentum. However, betting on stocks based on such a perception may not prove worthwhile.

It’s worth keeping in mind that when companies incur a loss, albeit temporarily, they are valued on their sales not and earnings. This is because top-line growth (or decline) is usually an indicator of a company’s future earnings performance.

Also, in contrast with price to earnings and price to book value ratios, which can turn negative and cease to be relevant, the price-to-sales (P/S) ratio is available even for firms that have hit choppy waters.

Further, a company can improve earnings by resorting to cost control measures while maintaining stable revenues. However, superior profits could be achieved through continued revenue growth. Also, management has limited opportunities to manipulate sales, which further underscores the importance of P/S ratio.

A huge sales number does not necessarily convert into profits. Hence, considering a company’s cash position along with its sales number can prove to be more prudent. Substantial cash in hand and a steady cash flow lend a company more flexibility with respect to business decisions and investments.

For the rest of this Screen of the Week article please visit Zacks.com at:https://www.zacks.com/stock/news/399339/solid-sales-growth-makes-these-5-stocks-worth-buying-now

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.

About Screen of the Week

Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine.  But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use.

Strong Stocks that Should Be in the News

Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has more than doubled the market from 1988 through 2016. Its average gain has been a stellar +25% per year. See these high-potential stocks free >>.

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