Core Insights - Three stocks with strong income characteristics and a Zacks Rank 1 are highlighted for investors to consider on September 24th Group 1: Company Performance - Cool Company Ltd. (CLCO) has seen a 9.1% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - CTO Realty Growth, Inc. (CTO) has experienced a 10.1% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - Banco de Chile (BCH) has witnessed a 10.2% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] Group 2: Dividend Yield Comparison - Cool Company Ltd. (CLCO) offers a dividend yield of 14.8%, significantly higher than the industry average of 3.4% [1] - CTO Realty Growth, Inc. (CTO) provides a dividend yield of 7.9%, compared to the industry average of 4.2% [1] - Banco de Chile (BCH) has a dividend yield of 5.1%, above the industry average of 3.8% [2]

Here are three stocks with buy rank and strong income characteristics for investors to consider today, September 17th:China Coal Energy (CCOZY) : This company which is engaged in integrating engineering and technological service businesses comprising of coal production, sales and trading, has witnessed the Zacks Consensus Estimate for its current year earnings increasing 3.6% over the last 60 days.This Zacks Rank #1 (Strong Buy) company has a dividend yield of 7.3%, compared with the industry average of 3.4 ...

Banco De Chile (BCH) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #1 (Strong Buy). This upgrade primarily reflects an upward trend in earnings estimates, which is one of the most powerful forces impacting stock prices.The sole determinant of the Zacks rating is a company's changing earnings picture. The Zacks Consensus Estimate -- the consensus of EPS estimates from the sell-side analysts covering the stock -- for the current and following years is tracked by the system.Since ...

Core Insights - Three stocks are highlighted with a buy rank and strong momentum characteristics for investors to consider: Eli Lilly and Company, Moody's Corporation, and Banco de Chile [1][2] Company Summaries Eli Lilly and Company (LLY) - Zacks Rank: 1 - Current year earnings estimate increased by 43.1% over the last 60 days - Shares gained 5.0% over the last three months, outperforming the S&P 500's 2.1% increase - Momentum Score: A [1] Moody's Corporation (MCO) - Zacks Rank: 1 - Current year earnings estimate increased by 5.1% over the last 60 days - Shares gained 20.0% over the last three months, significantly outperforming the S&P 500's 2.1% increase - Momentum Score: A [1] Banco de Chile (BCH) - Zacks Rank: 1 - Current year earnings estimate increased by 10.2% over the last 60 days - Shares gained 4.2% over the last three months, also outperforming the S&P 500's 2.1% increase - Momentum Score: A [1][2]

Core Insights - Five stocks have been added to the Zacks Rank 1 (Strong Buy) List, indicating strong potential for investment based on recent earnings estimate increases [1] Company Summaries - **Cool Company Ltd. (CLCO)**: This LNG shipping company has experienced a 9.1% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - **Banco de Chile (BCH)**: This financial services company has seen a 10.2% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - **Zuora, Inc. (ZUO)**: This monetization platform provider has had a significant 33.3% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - **Eli Lilly and Company (LLY)**: This pharmaceutical company has recorded a 21.2% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - **LSI Industries Inc. (LYTS)**: This lighting solutions company has seen a 10% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1]

Group 1 - Cool Company Ltd. (CLCO) is an LNG shipping company with a Zacks Consensus Estimate for current year earnings increasing by 9.1% over the last 60 days [1] - CLCO has a dividend yield of 14.1%, significantly higher than the industry average of 3.3% [1] - MPLX LP (MPLX) is a midstream energy company with a Zacks Consensus Estimate for current year earnings increasing by 5.9% over the last 60 days [1] - MPLX offers a dividend yield of 8%, compared to the industry average of 4.2% [1] - Banco de Chile (BCH) is a financial services company with a Zacks Consensus Estimate for current year earnings increasing by 10.2% over the last 60 days [1] - BCH has a dividend yield of 5.1%, above the industry average of 3.8% [1]

Core Insights - Three stocks with strong income characteristics and a Zacks Rank 1 are highlighted for investors to consider on September 5th Group 1: Company Summaries - **Cool Company Ltd. (CLCO)**: This operator of LNG carriers has seen a 9.1% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days and offers a dividend yield of 14%, significantly higher than the industry average of 3.3% [1] - **MPLX LP (MPLX)**: This midstream energy infrastructure and logistics company has experienced a 5.4% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days, with a dividend yield of nearly 8%, compared to the industry average of 4.2% [1] - **Banco de Chile (BCH)**: This banking and financial products and services company has seen a 10.2% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days and has a dividend yield of 4.9%, above the industry average of 3.8% [2]

Core Insights - Investors in Banco De Chile (BCH) should monitor stock movements due to significant activity in the options market, particularly the Oct 18, 2024 $30 Put, which has high implied volatility [1] Company Overview - Banco De Chile is currently rated as Zacks Rank 2 (Buy) within the Banks-Foreign industry, which is in the top 15% of the Zacks Industry Rank [3] - Over the last 60 days, one analyst has raised earnings estimates for the current quarter, increasing the Zacks Consensus Estimate from 51 cents per share to 58 cents per share [3] Market Sentiment - The high implied volatility in options trading suggests that investors anticipate a significant price movement for Banco De Chile shares, potentially due to an upcoming event [2][4] - Options traders often seek high implied volatility options to sell premium, aiming to benefit from the decay of options value if the stock does not move as expected [4]

Financial Data and Key Metrics Changes - Banco de Chile reported a net income of CLP 324 billion for Q2 2024, achieving a return on equity (ROE) of 24.6%, compared to 23.6% in the first half of the year [5][23] - The efficiency ratio improved to 55%, with total expenses growing only 3.2%, below the annual inflation rate [6][41] - The CET1 capital ratio increased to 13.8% from 13.3% in the previous quarter, indicating strong capitalization [15][38] Business Line Data and Key Metrics Changes - Total loans grew by 4% year-on-year, with mortgage loans increasing by 7.2% and consumer loans by 3.4% [27][28] - Commercial loans saw a modest growth of 2.3% after four consecutive quarters of decline, indicating a potential recovery in this segment [27][30] - The retail loan portfolio accounted for 65% of total loans, while wholesale commercial loans made up 35% [27] Market Data and Key Metrics Changes - The Chilean economy showed signs of cyclical recovery, with GDP growth of 2% year-on-year in Q1 2024 and 1.6% in Q2 2024 [6][8] - Unemployment improved slightly to 8.3%, with total employment increasing by 3.2% year-on-year [9] - Inflation was reported at 4.2% year-on-year in June, leading to a reduction in interest rates by the Central Bank [10][12] Company Strategy and Development Direction - The bank aims to be the most profitable in the industry, targeting a long-term ROE of around 18% [16] - Focus on customer satisfaction, efficiency, and long-term sustainability through digital banking initiatives and cost control measures [16][19] - The launch of B-Pago aims to enhance services for business customers, particularly in the SME segment [19] Management's Comments on Operating Environment and Future Outlook - Management anticipates GDP growth of 2.4% for 2024, driven by net exports and improved consumption due to lower interest rates [11][12] - The bank expects inflation to rise to 4.3% due to increased electricity prices, with a stable interest rate forecast of 5.5% by year-end [12][50] - The economic environment remains a concern, with potential risks from global economic factors and local political developments [13] Other Important Information - The banking industry reported a net income of CLP 1,346 billion for Q2 2024, with a return on average equity of 16% [14] - Nonperforming loans (NPL) increased to 2.4%, but the bank's credit risk management remains a priority [15][39] - The bank's liquidity coverage ratio reached 256%, significantly above regulatory requirements [34] Q&A Session Summary Question: What led to the upward revision of ROE guidance to 21%? - Management attributed the increase to strong year-to-date results, changes in macroeconomic conditions, and improved expectations for interest rates and inflation [46][50] Question: What advantages does the new acquiring business have over competitors? - The bank aims to leverage its customer-centric approach and enhance its value proposition for business customers, particularly in the SME segment [54][56] Question: What are the expectations for loan growth next year? - The bank expects loan growth to be slightly above the industry average of 5.5%, with strong performance anticipated in mortgage and consumer loans [60][61] Question: How will the upcoming elections impact loan growth? - Management indicated that while elections could introduce uncertainty, the overall economic growth is expected to remain positive, potentially supporting loan growth [67][72] Question: What is the outlook for dividends and excess capital? - The bank typically maintains a 60% payout ratio for dividends, with decisions made annually in March. Current capital levels are comfortable for future challenges [70][71]

Economic & Banking Industry Overview - The Chilean economy shows positive trends, with trade balance and monthly GDP growth[3,4] - Inflationary persistence is higher than expected[13] - Banco de Chile forecasts GDP growth of 2.4% for 2024, with CPI at 4.3% and overnight rate at 5.5%[14] - The banking industry shows positive results despite subdued loan growth[18] Strategic Priorities and Advances - Banco de Chile focuses on sustainability, digital banking, and efficiency & productivity[27,28,29] - The bank's Net Promoter Score reached 76.3% in June 2024, exceeding the target of ≥73%[28] Q2 2024 Financial Results - Banco de Chile demonstrates consistent market leadership in profitability[31,33] - The bank's ROAE was 24.6% in 2Q24[37] - Net Interest Margin (NIM) was 5.0% in 2Q24[41] - The bank maintains a strategically balanced loan portfolio across economic sectors[46] - Total loans grew by 5.5% year-over-year[48] - The Liquidity Coverage Ratio (LCR) was 256% in June 2024, above the regulatory limit of 100%[55] - The bank's CET1 ratio was 13.79% in June 2024[65] - Cost of Risk was 1.00% in 2Q24[67] - Net Income for the Period attributable to Equity Holder was 323.6 Billion MCh$[93]