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 Baidu.com, Inc. (Nasdaq: BIDU), Avon Products, Inc. (NYSE: AVP), Quanta Services, Inc. (NYSE: PWR), and Credit Suisse Group (NYSE: CS).
Stocks ranked #1 (Strong Buy) by Zacks have produced an average annual return of +31.8% 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 – Baidu.com, Inc. (Nasdaq: BIDU)
Baidu.com, Inc. is benefiting from the explosive growth of the Chinese economy. The company has blown away earnings estimates in each of the past three quarters by an average margin of about 34%. Over the past 60 days, earnings estimates have jumped 10 cents to $1.82 per share for this year and 17 cents to $3.02 per share for next year. The company sports a strong long-term growth rate of 41.67%.
Growth & Income – Avon Products, Inc. (NYSE: AVP)
Avon Products, Inc., currently in the midst of a turnaround plan, continues to buy back shares and pay dividends. In fact, on Feb 1, the Board of Directors declared a 5.7% increase in its regular quarterly dividend to 18.5 cents per common share. AVP has a current dividend yield of 1.9% and a five-year average dividend yield of 1.7%.
Momentum – Quanta Services, Inc. (NYSE: PWR)
Quanta Services Inc. has been in a consistent uptrend since breaking resistance in January of this year. The stock has returned over 34% for 2007, clearly benefiting from rising earnings estimates and the company’s consistent reporting history. PWR has met or exceeded analyst expectations for 12 consecutive quarters.
Value – Credit Suisse Group (NYSE: CS)
Credit Suisse Group reported impressive fourth-quarter and full-year 2006 results in mid-February. Management has returned value to shareholders through both dividend payments and share buybacks. The company is currently yielding 1.4%. CS has a price-to-book ratio of 2.6, compared to 4.4 for the market and 3.1 for the industry. Its PEG ratio currently resides at 0.65.
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.” A $10,000 investment in the Zacks Rank list made in 1988 would now be worth $1.77 million – equivalent to a 31.8% annualized return! 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 143.6% annually (+4.8% vs. +11.8%). Thus, the Zacks Rank system allows investors to truly manage portfolio trading effectively.
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 http://at.zacks.com/?id=90.
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
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.
*The S&P 500 Index ("S&P 500") is a well-known, unmanaged index of the prices of 500 large-company common stocks selected by Standard & Poor's. The S&P 500 includes the reinvestment of all dividends, no transaction costs, and represents the gross returns before management fees.
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.
