Core Viewpoint - Investors are seeking growth stocks that can deliver above-average growth and exceptional returns, but identifying such stocks is challenging due to their inherent risks and volatility [1] Group 1: Growth Stock Identification - The Zacks Growth Style Score system helps identify cutting-edge growth stocks by analyzing real growth prospects beyond traditional attributes [2] - Fox Corporation (FOX) is currently recommended due to its favorable Growth Score and top Zacks Rank [2] Group 2: Earnings Growth - Earnings growth is a critical factor for growth investors, with double-digit growth indicating strong prospects [3] - Fox's historical EPS growth rate is 9.9%, but projected EPS growth for this year is 32.3%, surpassing the industry average of 27.7% [4] Group 3: Asset Utilization - The asset utilization ratio (sales-to-total-assets ratio) is an important metric for growth stocks, indicating efficiency in generating sales [5] - Fox has an S/TA ratio of 0.71, outperforming the industry average of 0.52, indicating better asset utilization [5] Group 4: Sales Growth - Sales growth is another key indicator, with Fox expected to achieve a sales growth of 15.3% this year, compared to the industry average of 0% [6] Group 5: Earnings Estimate Revisions - Positive trends in earnings estimate revisions correlate strongly with near-term stock price movements [7] - The current-year earnings estimates for Fox have been revised upward, with a 1% increase in the Zacks Consensus Estimate over the past month [8] Group 6: Overall Assessment - Fox has earned a Growth Score of B and a Zacks Rank 1 due to positive earnings estimate revisions, indicating it is a potential outperformer for growth investors [10]
Here is Why Growth Investors Should Buy Fox (FOX) Now