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Here's Why Monolithic Power (MPWR) is a Strong Growth Stock
ZACKSยท 2025-06-18 14:51
Group 1 - Zacks Premium offers various tools for investors to enhance their stock market strategies, including daily updates on Zacks Rank and Industry Rank, Equity Research reports, and Premium stock screens [1] - The Zacks Style Scores are designed to help investors select stocks with the highest potential to outperform the market within a 30-day timeframe, rated from A to F based on value, growth, and momentum [2][9] - The Value Score identifies attractive stocks using financial ratios like P/E and Price/Sales, appealing to value investors seeking undervalued opportunities [3] - The Growth Score focuses on a company's financial health and future outlook, analyzing projected earnings and cash flow to find stocks with sustainable growth [4] - The Momentum Score leverages trends in stock prices and earnings estimates to identify favorable times for investment in high-momentum stocks [5] - The VGM Score combines all three Style Scores, providing a comprehensive indicator for investors who utilize multiple investment strategies [6] Group 2 - The Zacks Rank is a proprietary stock-rating model that uses earnings estimate revisions to assist investors in building successful portfolios [7] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [8] - To maximize returns, investors should focus on stocks with a Zacks Rank of 1 or 2 that also have Style Scores of A or B, ensuring higher potential for success [9] - The direction of earnings estimate revisions is crucial when selecting stocks, as a stock with a lower rank may still decline despite having good Style Scores [10] Group 3 - Monolithic Power Systems (MPWR) is a company that designs and markets high-performance power solutions, focusing on analog and mixed-signal integrated circuits [11] - MPWR currently holds a Zacks Rank of 3 (Hold) with a VGM Score of B, indicating moderate potential [11] - The company is projected to experience year-over-year earnings growth of 21% for the current fiscal year, supported by positive earnings estimate revisions from analysts [12] - The Zacks Consensus Estimate for MPWR has increased by $0.11 to $17.08 per share, with an average earnings surprise of 2.2%, making it a strong candidate for growth investors [12]
Is United Fire Group (UFCS) a Great Value Stock Right Now?
ZACKSยท 2025-06-18 14:41
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use tried-and-true metrics a ...
Should Value Investors Buy QuidelOrtho (QDEL) Stock?
ZACKSยท 2025-06-18 14:41
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use a variety of methods, including tried-and-true valuation metr ...
Are Investors Undervaluing Jabil (JBL) Right Now?
ZACKSยท 2025-06-18 14:41
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.Luckily, Zacks has developed ...
Altria Trades at a Bargain: Is it a Good Time to Buy the Stock?
ZACKSยท 2025-06-18 14:11
Key Takeaways MO trades at a forward P/E of 10.81, well below industry peers and the broader market average. Altria's on! shipments rose 18% in Q1, gaining share in oral tobacco and nicotine pouch categories. EPS estimates for MO have been revised upward, with 2025 growth projected at 5.3% year over year.Altria Group, Inc. (MO) is currently trading at an attractive discount compared to its industry peers and the broader market, making it a potential value pick for long-term investors. MO stock trades at a ...
5 High-Earnings Yield Picks to Ride Out Market Uncertainty
ZACKSยท 2025-06-18 13:41
Market Overview - The stock market is experiencing a new wave of uncertainty due to geopolitical tensions and weaker-than-expected economic data, particularly in U.S. retail sales for May [1][2] - The Israel-Iran conflict has escalated, contributing to investor unease [1] - The upcoming Federal Reserve meeting is a focal point, with expectations that weak economic data may lead to a more dovish stance from policymakers [2] Investment Strategy - In the current volatile market environment, a value investing approach focusing on fundamentally strong companies with reasonable prices is recommended [3] - Companies with high earnings yields are highlighted as potential investment opportunities [3] Earnings Yield Insights - Earnings yield is a key metric for assessing potential returns, calculated by dividing earnings per share by stock price [4] - A higher earnings yield may indicate undervaluation, while a lower yield could suggest overvaluation [5] - Comparing earnings yield to the yield on 10-year Treasury bonds can help determine investment worthiness [5] Screening Criteria - The primary screening criterion is an earnings yield greater than 10% [6] - Additional parameters include estimated EPS growth exceeding the S&P 500 and an average daily trading volume of at least 100,000 shares [7][6] - Stocks must also have a current price of $5 or more [8] Selected Stocks - Five stocks with earnings yields above 10% and strong growth potential have been identified: - **Aris Mining Corporation (ARMN)**: Expected earnings growth of 226% and 81% for 2025 and 2026, respectively, with a Zacks Rank 1 [10] - **Quanex Building Products Corporation (NX)**: Projected earnings growth of 19.6% and 14% for 2025 and 2026, respectively, also with a Zacks Rank 1 [11] - **Heritage Insurance Holdings, Inc. (HRTG)**: Anticipated earnings growth of 62% and 13% for 2025 and 2026, respectively, with a Zacks Rank 1 [12] - **Popular, Inc. (BPOP)**: Expected earnings growth of 17% and 20% for 2025 and 2026, respectively, holding a Zacks Rank 1 [13] - **Priority Technology Holdings Inc. (PRTH)**: Projected earnings growth of 108% and 34% for 2025 and 2026, respectively, with a Zacks Rank 1 [14]
This Artificial Intelligence (AI) Stock Isn't in Warren Buffett's Portfolio -- but It Follows His Rules
The Motley Foolยท 2025-06-18 08:16
In May, Warren Buffett announced that he plans to step down from his role as CEO of Berkshire Hathaway (BRK.A -1.25%) (BRK.B -1.35%) at the end of 2025. It will cap off a spectacular run of success that dates back to 1965 -- though his journey isn't over completely, because he will continue to serve as chairman of Berkshire's board.Had you invested $1,000 in Berkshire stock when Buffett took the helm 60 years ago and held on for that entire time, you'd have been sitting on shares worth an eye-popping $44.7 ...
Ecopetrol: A Good Company With Potential Catalysts
Seeking Alphaยท 2025-06-18 04:40
Company Overview - Ecopetrol is a Colombian-integrated oil company involved in exploration, production, transportation, and refining of fossil fuels [1] - The company's primary operating basins are located in Colombia and Ecuador, with additional interests in Brazil and the United States [1] Investment Focus - The company is characterized by sustained free cash flows, low levels of leverage, and sustainable debt over time [1] - It targets companies in distress with high recovery potential, particularly in the oil & gas, metals, and mining sectors [1] - The focus is on emerging markets that exhibit high margins and present good medium to long-term investment opportunities [1] Shareholder Value - The company maintains a solid pro-shareholder attitude, with ongoing buyback programs and dividend distributions [1]
Shell: Continued Strategy Execution Should Close The Gap To U.S. Peers
Seeking Alphaยท 2025-06-17 22:03
Group 1: Company Overview - Shell is an oil and gas supermajor with operations across the entire energy supply chain [1] - The company has made strategic moves to focus solely on being UK-headquartered and is shifting towards cleaner energy [1] Group 2: Investment Focus - The analysis emphasizes a focus on undervalued and disliked companies or industries with strong fundamentals and good cash flows [2] - Energy Transfer is highlighted as a company that was previously overlooked but has potential for substantial returns [2] - The investment strategy leans towards long-term value investing while also considering deal arbitrage opportunities [2]
AXS Outperforms Industry, Trades at a Discount: How to Play the Stock
ZACKSยท 2025-06-17 16:51
Core Insights - AXIS Capital Holdings Limited (AXS) shares have increased by 48% over the past year, outperforming the Finance sector and the S&P 500 composite, which grew by 18.4% and 9.4% respectively [1] - The company has a market capitalization of $8.13 billion and an average trading volume of 0.7 million shares over the last three months [1] Performance Metrics - AXS has consistently beaten earnings estimates in the last four quarters, with an average beat of 13.89% [3] - The Zacks Consensus Estimate for AXS's 2025 earnings per share indicates a 3.4% year-over-year increase, with revenues expected to reach $6.58 billion, reflecting a 7.8% improvement [12] - Earnings have grown by 67.1% over the past five years, significantly higher than the industry average of 20.8% [13] Valuation and Price Movement - AXS shares are trading at a forward price-to-book value of 1.51X, lower than the industry average of 1.56X and the Finance sector's 4.11X [4] - The stock closed at $103.42, near its 52-week high of $107.19, indicating strong investor confidence [5] - The average price target from analysts is $112.38 per share, suggesting a potential upside of 9.1% from the last closing price [16] Strategic Focus and Growth Areas - AXS is focusing on growth areas such as wholesale insurance, lower middle markets, and specialty reinsurance lines [8] - The company aims to reduce its general and administrative expense ratio to below 11% by 2026 [8] - AXS is enhancing its digital capabilities to drive growth in smaller accounts and improve operational efficiencies [21] Dividend and Return Metrics - AXS has a strong dividend history, having increased its dividend for 18 consecutive years, currently yielding 1.7%, significantly above the industry average of 0.2% [22] - The return on equity for AXS in the trailing 12 months was 19%, outperforming the industry average of 7.8% [18] Analyst Sentiment - Analysts have raised their earnings estimates for AXS for both 2025 and 2026, with the consensus estimates increasing by 2.4% and 0.5% respectively over the past 60 days [14]