Back to top

Image: Bigstock

The Zacks Analyst Blog Highlights: Ardmore Shipping, Meet, Cousins Properties, Ring Energy and EXFO

Read MoreHide Full Article

For Immediate Release

Chicago, IL – May 7, 2019 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Ardmore Shipping Corp. (ASC - Free Report) , The Meet Group, Inc. , Cousins Properties Inc. (CUZ - Free Report) , Ring Energy, Inc. (REI - Free Report) and  EXFO Inc. .

Here are highlights from Monday’s Analyst Blog:

5 of the Best Stocks Under $10 to Buy Right Now

At Zacks, we try to avoid labeling stocks as “cheap” or “expensive.” Instead, we opt to look beyond a stock’s face value, and our system puts an emphasis on earnings estimate revisions to find stocks that will hopefully be winners for investors.

With that said, low-priced stocks can still be attractive to investors as they present the chance to take a larger position in a company. When searching for these low-priced stocks, we still look for similar trends in growth, value, and momentum. Then we apply the Zacks Rank to properly analyze the potential that these companies have.

Today we’ve highlighted five stocks that are currently trading for under $10 per share. All of these stocks also sport a Zacks Rank #2 (Buy) or better, and are showing signs of outpacing the market.

1. Ardmore Shipping Corp. 

Prior Close: $7.66 USD         

Ardmore Shipping owns and operates tankers that ship petroleum products and chemicals around the world. Shares of the Bermuda-based company have soared 66% so far this year to crush the Transportation Market’s 23% average and the S&P 500’s 17%. The company is also coming off a better-than-projected first quarter of fiscal 2019 and has seen its earnings estimate revisions trend heavily in the right direction over the last seven days, particularly for the current full year and fiscal 2020. This positivity helps ASC earn a Zacks Rank #2 (Buy) at the moment.

Ardmore also rocks a “B” grade for Growth and an “A” for Momentum in our Style Scores system. The company’s adjusted second-quarter EPS figure is projected to skyrocket 72% on 9% revenue growth, based on our current Zacks Consensus Estimates. With that said, the firm is still expected to post an adjusted loss of $0.08 per share this year. Looking ahead, however, Ardmore’s fiscal 2020 earnings are projected to soar 833% above our current-year estimate to reach $0.59 per share on 14% revenue expansion. On top of that, the company’s price/sales ratio rests at 1.1, which represents a discount compared to its industry’s 1.3.

2. The Meet Group, Inc. 

Prior Close: $5.88 USD         

The Meet Group is a social media company offering several different social entertainment apps, including MeetMe, Skout, and Lovoo. These apps are primarily focused on streaming video, mobile chat, gifting, and photo sharing. MEET is coming off a fiscal 2018 that saw its revenue surge 44%. Looking ahead, our current Zacks Consensus estimates call for the firm’s adjusted first-quarter fiscal 2019 earnings—which are due out on May 8—to soar 80% on roughly 27% revenue growth.

Peeking further ahead, the company's full-year earnings are projected to jump 33.3% on 18.3% revenue expansion. Meanwhile, shares of MEET have soared 98% in the last year. Despite the climb, MEET stock still looks relatively inexpensive at the moment, trading at 16.6X forward 12-month Zacks Consensus EPS estimates. This marks a discount compared to its industry's 27X average and its own 21.8X median. The Meet Group is currently a Zacks Rank #2 (Buy) that sports “B” grades for Value and Growth in our Style Scores system.

3. Cousins Properties Inc. 

Prior Close: $9.49 USD         

Cousins Properties is another fully integrated, self-administered and self-managed real estate investment trust that invests primarily in Sun Belt area office towers, which includes Atlanta, Austin, Dallas, and Phoenix. Cousins Properties recently raised its full-year fiscal 2019 bottom-line guidance on the back of three new strategic transactions in Atlanta. Shares of Cousins Properties have popped 20% in 2019 to outpace the Real Estate market’s 16% average climb and the S&P 500’s 17%.

CUZ stock is currently trading at a discount against its industry’s average forward P/E of 16 X at 13.1X forward earnings estimates. Meanwhile, the company’s quarterly funds from operations (FFO) is projected to jump 20% to reach $0.18 a share on 11.6% revenue growth. Cousins Properties has also seen a ton of positive FFO estimate revision activity recently. This upward revision trend helps the stock earn a Zacks Rank #2 (Buy) at the moment. CUZ also sports a “B” grade for Growth and an “A” for Momentum and has a dividend yield of 3.1%.

4. Ring Energy, Inc. 

Prior Close: $4.79 USD

Ring Energy is an oil and gas exploration and development firm that operates mostly in two areas in the Permian Basin. Shares of the Midland, Texas-headquartered company have plummeted over the last year. But the company’s outlook could help things turn around. Ring Energy is scheduled to release its first-quarter fiscal 2019 financial results on Wednesday, May 8. The company’s Q1 outlook is far from impressive, with both earnings and revenue expected to fall year over year.

Despite the expected near-term downturn, REI’s current full-year revenue is projected to skyrocket 61% to $193 million. On top of that, the company’s fiscal 2020 revenue is expected to come in 34% above our current year estimate, with earnings expected to soar 67% to reach $0.75 per share. Ring Energy is a Zacks Rank #2 (Buy) at the moment that sports a “B” grade for Value and an “A” for Momentum.

5. EXFO Inc. 

Prior Close: $4.68 USD

EXFO offers test, monitoring, and analytics for fixed and mobile network operators, webscale companies and equipment manufacturers. The communications industry firm saw its second-quarter fiscal 2019 revenue jump 14.2% to $73.9 million. Looking ahead, the company’s adjusted current-quarter earnings are projected to skyrocket 600%, with its full-year earning expected to soar 133%. At the top of the income statement, EXFO’s full-year revenues are projected to jump 8%. Plus, EXFO has seen its longer-term earnings estimate revision activity turn more positive recently.

EXFO is a Zacks Rank #2 (Buy) right now and boasts “A” grades for Value and Growth in our Style Scores system. Plus, EXFO’s price/sales ratio sits at 0.91 at the moment, which marks a discount compared to its industry’ 1.3. Furthermore, the company’s forward P/E of 22.8X falls below the Communication – Components’ 25.3X average.

Will you retire a millionaire?

One out of every six people retires a multimillionaire. Get smart tips you can do today to become one of them in a new Special Report, “7 Things You Can Do Now to Retire a Multimillionaire.”

Click to get it free >>

Media Contact

Zacks Investment Research

800-767-3771 ext. 9339

support@zacks.com                                   

http://www.zacks.com                                                 

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 http://www.zacks.com/performance for information about the performance numbers displayed in this press release.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Cousins Properties Incorporated (CUZ) - free report >>

Ring Energy, Inc. (REI) - free report >>

Ardmore Shipping Corporation (ASC) - free report >>

Published in