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 NMT Medical, Inc. (Nasdaq: NMTI), The Sherwin-Williams Company (NYSE: SHW), Deckers Outdoor Corporation (Nasdaq: DECK), and The Chubb Corporation (NYSE: CB).
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 – NMT Medical, Inc. (Nasdaq: NMTI)
NMT Medical, Inc. has made it a habit of significantly exceeding analyst estimates. The company has posted seven consecutive double-digit earnings surprises, with six of them surpassing the 20% mark. Three analysts have raised their forecasts for this year. The company is still losing money, but the estimate picture is improving dramatically. Over the past 90 days, this year's estimates have increased 32 cents to a loss of $1.36 per share. Analysts forecast long-term earnings growth of 25%.
Growth & Income – The Sherwin-Williams Company (NYSE: SHW)
The Sherwin-Williams Company beat the consensus earnings estimate in six out of the past seven quarters. After posting solid second-quarter and year-to-date results, the company boosted its full-year profit guidance to between $4.60 and $4.70 per share. Consensus earnings estimates for both this year and next year are up over the past month. On Jul 18, the Board of Directors declared a quarterly cash dividend to 31.5 cents per common share of stock. SHW is currently yielding 1.78%.
Momentum – Deckers Outdoor Corporation (Nasdaq: DECK)
On Jul 26, Deckers Outdoor Corporation reported second-quarter earnings of 20 cents per share, one penny below year-ago results, but 12 cents above expectations. Driving the earnings growth, revenues rose 26.4% to $52.7 million. The company is set to have a spectacular 2007, with the stock soaring over 78% year-to-date. After reporting better than expected results, DECK went on to make new 52-week highs.
Value – The Chubb Corporation (NYSE: CB)
The Chubb Corporation exceeded analysts’ earnings expectations in 16 consecutive quarters. Due to better-than-expected second-quarter results, CB recently raised its full-year profit guidance to between $5.70 and $6.10 per share. Analysts responded to the company’s bullish guidance by upping their estimates. This Zacks #1 Rank stock has a price-to-book ratio of 1.5 and is currently yielding 2.3%.
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.
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.
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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
