Zacks.com releases the latest list of Zacks Rank Buy Stocks. Everyday on Zacks.com, four stocks are selected based on how well they match the criteria for the four main schools of investing: Aggressive Growth, Growth & Income, Momentum and Value. The four Zacks Rank Buy stocks highlighted today are Diamond Foods (Nasdaq: DMND), Endurance Specialty Holdings, Ltd. (NYSE: ENH), AGCO Corp. (NYSE: AG) and Portland General Electric Company (NYSE: POR).
Stocks ranked #1 (Strong Buy) by Zacks have produced an average annual return of +32.2% since inception in 1988. During the 2000-2002 bear market, Zacks #1 Rank stocks gained 43.8% while the S&P 500 tumbled -37.6%. To see the full Zacks #1 Rank (Strong Buy) List, or the rank for any other stock, visit: http://at.zacks.com/?id=88
Here is a synopsis of today’s Zacks Rank Buy Stocks:
Aggressive Growth – Diamond Foods (Nasdaq: DMND)
Diamond Foods is serving up some tasty profits to shareholders. The company has handily exceeded estimates in each of the past two quarters. Over the past 60 days, this year's earnings estimates have increased nine cents to 87 cents per share. Analysts are forecasting a further 28.8% jump in earnings next year. Additionally, the company's ABR has improved to 2.00 from 2.63 over the past month.
Growth & Income – Endurance Specialty Holdings, Ltd. (NYSE: ENH)
Endurance Specialty Holdings, Ltd. exceeded analysts’ earnings expectations in five out of the last six quarters by an average margin of 30.4%. Consensus earnings estimates for this quarter and for the full year are up over the past week. Earnings per share are projected to grow 12% over the next 3-5 years. On Aug 9, the Board of Directors declared a quarterly cash dividend of 25 cents per share of stock. This Zacks #1 Rank stock has a current dividend yield of 2.4%.
Momentum – AGCO Corp. (NYSE: AG)
AGCO Corp. is harvesting profits. The market conditions for agricultural companies remains robust and AGCO is taking full advantage of that. The company has blown away earnings estimates in each of the past three quarters by a minimum of 31%. Over the past 60 days, this year's estimates have risen 13 cents to $1.74 per share. Analysts are projecting earnings to grow 48% next year. The chart is looking fabulous and just broke to new highs.
Value – Portland General Electric Company (NYSE: POR)
Portland General Electric Company exceeded analysts’ earnings estimates in four out of the past five quarters by an average margin of 56.2%. After reporting strong second-quarter and first-half results in late July, the company boosted its full-year earnings per share guidance to between $2.25 and $2.35. On Aug 2, the Board of Directors declared a quarterly dividend of 23.5 cents per share. This Zacks #1 Rank stock has a price-to-book ratio of 1.4, compared to 1.7 for the industry.
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,” provides an insightful background about this wealth-building tool. Download your free copy of the report now to prosper in the years to come by visiting http://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 +32.2%. 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 underperformed the S&P 500 by 129% annually (+5.3% vs. +12.1%). Thus, the Zacks Rank system allows investors to truly manage portfolio trading effectively.
Zacks Rank performance is the total return (price changes + dividends) of equal weighted portfolios, consisting of those stocks with the indicated Zacks Rank, assuming zero transaction costs. These returns are not the result of a backtest; these are actual returns since 1988. The stocks in the Zacks Rank portfolios were available to Zacks clients before the beginning of each month (monthly rebalancing). Performance results from 1988 through June 2007 are based on a subset of all Zacks Rank stocks that excludes stocks covered by only one analyst and ADR’s.
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About Zacks
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leonard Zacks. As a PhD in mathematics 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 http://at.zacks.com/?id=91
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The S&P 500 Index is a well-known, unmanaged index of the prices of 500 large-company common stocks, mainly blue-chip stocks, selected by Standard & Poor's. The S&P 500 Index assumes reinvestment of dividends but does not reflect advisory fees. An investor cannot invest directly in an index.
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.
Contacts:
Aggressive Growth Stocks:
Roopak Chakravarty,
312-265-9188
or
Growth & Income Stocks:
Jim Licato,
312-265-9226
or
Momentum Stocks:
Ryan Whitmore,
312-265-9265
or
Value Stocks:
Jim Licato, 312-265-9226
Email:
pr@zacks.com
Visit: www.zacks.com
