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 Cynosure, Inc. (Nasdaq: CYNO), Potash Corporation of Saskatchewan, Inc. (NYSE: POT), Priceline.com, Inc. (Nasdaq: PCLN), and HealthSpring, Inc. (NYSE: HS).
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 – Cynosure, Inc. (Nasdaq: CYNO)
Cynosure, Inc. is a company on the cutting edge of laser technology. CYNO has met or exceeded estimates in each of the past five quarters. Year-over-year growth has averaged over 150% over the past two quarters. Three analysts raised their numbers for both this year and next. Over the past month, this year's estimates have risen seven cents to 91 cents per share. Next year's numbers have jumped 15 cents to $1.30 per share. Analysts project robust long-term earnings growth of 38%.
Growth & Income – Potash Corporation of Saskatchewan, Inc. (NYSE: POT)
Potash Corporation of Saskatchewan, Inc. recently raised its full-year profit outlook after posting the best quarterly earnings in the history of the company. Analysts responded to POT’s favorable guidance by upping their earnings estimates for both this year and next year. On May 2, the Board of Directors authorized the doubling of its quarterly cash dividend to 10 cents per share. POT has a current dividend yield of 0.47%.
Momentum – Priceline.com, Inc. (Nasdaq: PCLN)
On Apr 7, Priceline.com, Inc. reported second-quarter earnings of $1.00 per share, up from 55 cents per share in the year-ago period and 20 cents above expectations. The company also increased its full-year guidance forecast due to stronger-than-expected second-quarter results. PCLN’s consistent uptrend is obvious and the solid earnings momentum and increasing estimates foretell good times ahead. Look for PCLN to build on its outperformance and continue the upward trend.
Value – HealthSpring, Inc. (NYSE: HS)
HealthSpring, Inc., a Zacks #1 Rank stock, recently raised its full-year profit guidance to between $1.33 and $1.43 per share. Consensus earnings estimates for both this year and next year are up over the past month. Earnings per share are projected to grow 13% over the next 3-5 years. HS has a price-to-book ratio of 1.8, compared to 4.6 for the market and 2.6 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
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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
