For Immediate Release
Chicago, IL – December 29, 2011 – Zacks.com releases details on a group of stocks that are currently members of the exclusive Zacks #5 Rank List – Stocks to Sell Now. These stocks are currently rated as a Zacks Rank #5 (Strong Sell): Power Integrations, Inc. ( (POWI - Free Report) and Sanmina-SCI Corporation ( . Further, Zacks announced #4 Rankings (Sell) on two other widely held stocks: K12 Inc. ( (LRN - Free Report) and Abercrombie & Fitch Co. ( (ANF - Free Report) .
To see the full Zacks #5 Rank List - Stocks to Sell Now visit: https://at.zacks.com/?id=92
Since inception in 1988, the S&P 500 has outperformed the Zacks #5 Rank List of Stocks to Sell Now by 80% annually (+2% vs. +10%). While the rest of Wall Street continued to tout stocks during the market declines of the last few years, Zacks told investors which stocks to sell or avoid.
Here is a synopsis of why POWI and SANM have a Zacks Rank of #5 (Strong Sell) and should most likely be sold or avoided for the next one to three months. Note that a #5 Strong Sell rating is applied to 5% of all the stocks in the Zacks Rank universe:
Power Integrations, Inc. ( (POWI - Free Report) announced third-quarter profit of 26 cents per share on November 3 that missed analysts’ expectations by 13.33%. The Zacks Consensus Estimate for the current year slid to $1.14 per share from $1.33 per share in the last 60 days as next year’s estimate dipped 46 cents per share to $1.32 per share in that time span.
Sanmina-SCI Corporation ( posted a fourth-quarter profit of 32 cents per share on November 1, which came in 5 cents wider than the average forecast. The Zacks Consensus Estimate for the full year fell to $1.28 per share from $1.51 per share over the past two months. For 2013, analysts expect a profit of $1.51 per share, compared to last two month’s projection for a profit of $1.66 per share.
Here is a synopsis of why LRN and ANF have a Zacks Rank of 4 (Sell) and should also most likely be sold or avoided for the next one to three months. Note that a #4 Sell rating is applied to 15% of all the stocks ranked by Zacks;
K12 Inc. ( (LRN - Free Report) first-quarter profit of 18 cents per share, posted on November 15, lagged analysts’ projections by 28%. Estimate for current year slid 6 cents per share to 62 cents per share over a month as next year’s estimate dipped 6 cents per share to $1.08 per share in that time span.
Abercrombie & Fitch Co. ( (ANF - Free Report) reported a third-quarter profit of 57 cents per share on November 16 that fell 21.92% short of the Zacks Consensus Estimate. The full-year average forecast is currently $2.79 per share, compared with last two month’s projection of $3.28 per share. Next year’s forecast dropped to $4.32 per share from $4.71 per share in the same period.
Truly taking advantage of the Zacks Rank requires the understanding of how it works. The free special report; “Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions” is available to provide this insightful background. Download a free copy now to prosper in the years to come at https://at.zacks.com/?id=93
About the Zacks Rank
Since 1988, the Zacks Rank has proven that "Earnings estimate revisions are the most powerful force impacting stock prices." Since inception in 1988, #1 Rank Stocks have generated an average annual return of +28%. During the 2000-2002 bear market, Zacks #1 Rank stocks gained +43.8%, while the S&P 500 tumbled -37.6%. Also note that the Zacks Rank system has just as many Strong Sell recommendations (Rank #5) as Strong Buy recommendations (Rank #1). Since 1988, Zacks Rank #5 stocks have significantly underperformed the S&P 500 (2.8% versus +9.7%). Thus, the Zacks Rank system allows investors to truly manage portfolio trading effectively.
Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Zacks “Profit from the Pros” e-mail newsletter offers continuous coverage of Zacks Rank Buy stocks and highlights those stocks poised to outperform the market. Subscribe to this free newsletter today by visiting https://at.zacks.com/?id=94
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Len Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at https://at.zacks.com/?id=95
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/ZacksInvestmentResearch
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.
Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
Zacks Investment Research
800-767-3771 ext. 9339