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Zacks.com featured highlights include Nexa Resources, Harmony Biosciences, Commercial Metals and Suzano
ZACKS· 2026-01-30 07:09
Core Insights - The article discusses four stocks that exemplify the GARP (Growth at a Reasonable Price) investment strategy, highlighting their attractive PEG ratios and strong growth outlooks. Group 1: GARP Investment Strategy - GARP investing combines growth and value investing principles, aiming for stocks that are undervalued yet have solid growth potential [4][6]. - The PEG ratio, which is the price-to-earnings ratio divided by the earnings growth rate, is a key metric for GARP investors, with a lower PEG ratio (preferably less than 1) indicating better investment potential [6][7]. Group 2: Stock Analysis - **Nexa Resources**: A global zinc miner with a Zacks Rank of 2 and a Value Score of A, it has a long-term expected growth rate of 35.6% and a discounted PEG and P/E ratio [11]. - **Harmony Biosciences**: A U.S.-based pharmaceutical company with a Zacks Rank of 1 and a Value Score of A, it has a five-year expected growth rate of 27.1% [12]. - **Commercial Metals**: This company, which manufactures and recycles steel and metal products, has a Zacks Rank of 2 and a Value Score of A, with a long-term expected growth rate of 25.5% [14]. - **Suzano**: A manufacturer of pulp and paper products with a Zacks Rank of 1 and a Value Score of A, it boasts a solid long-term expected growth rate of 44.1% [16].
Korean Proxy Fight Threatens to Derail Trump’s Big Zinc Bet
MINT· 2025-12-19 20:45
Core Viewpoint - The Trump administration's investment in a US zinc development has become entangled in a South Korean proxy fight, highlighting the challenges of government involvement in critical industries amid free-market backlash [1][5]. Group 1: Investment Details - The administration announced a joint venture with Korea Zinc to support a $7.4 billion smelter project in Tennessee aimed at increasing US production of critical minerals [2]. - The project is expected to more than double Korea Zinc's revenue and prioritize the US for crucial metals [9]. - The US government is contributing over $2 billion to the project, with involvement from the Commerce and Defense departments, and JPMorgan Chase & Co. is among the investors [10]. Group 2: Reactions and Legal Challenges - The reaction to the deal has been mixed, with shares fluctuating as Korea Zinc's largest shareholders express concerns about the deal structure [2]. - Activist investors Young Poong Corp. and MBK Partners Ltd. have filed an injunction in a South Korean court to halt a share issuance for the smelter, claiming it is an attempt to evade a proxy battle [3]. - The Trump administration is aware of the proxy fight but does not intend to intervene, viewing it as a routine corporate dispute [11]. Group 3: Implications for US Policy - The case could disrupt efforts to boost domestic production of critical minerals and complicate US-South Korea relations, which have already been strained by tariff issues [4]. - Critics argue that the administration's approach of taking direct stakes in critical mineral producers risks undermining its objectives by involving the government in business dealings [5]. - US officials remain cautiously optimistic about the deal's progression, believing it will revitalize domestic production in defense and aerospace sectors [7].