Business Services Industry
Zacks Return On Equity Strategy Highlights: Anixter International, Express Scripts, Matrix Service Co. and AMERCO
Business Wire, August 6, 2007
CHICAGO -- One of the quickest ways to gauge whether a company is creating assets or gobbling up investor's cash is to look at their Return On Equity (ROE). The fast moving ROE Profit Track screening strategy from Zacks.com has generated an impressive return of 21.4% in 2005. In 2006, it continued to outperform the S&P 500, returning 27.0% versus the S&P 500 rise of 16.7%. Four stocks meeting this screen's exclusive criteria are Anixter International, Inc. (NYSE: AXE), Express Scripts, Inc. (Nasdaq: ESRX), Matrix Service Co. (Nasdaq: MTRX) and AMERCO (Nasdaq: UHAL). View the entire list of stocks for the ROE Profit Track at http://at.zacks.com/?id=1853
Here are details about four companies currently identified by the ROE Profit Track:
Anixter International, Inc. (NYSE: AXE) recently posted second-quarter earnings $1.53 per share, outpacing last year's $1.15 and surpassing the consensus estimate by 18%. Sales increased 22% on a year-over-year basis. Anixter International satisfies the criteria of this Profit Track as evidenced by its ROE of 23.78 and price to sales ratio of 0.51.
Express Scripts, Inc. (Nasdaq: ESRX) recently posted second-quarter earnings of 57 cents per share, eclipsing last year's 38 cents and surpassing the consensus by nearly 6%. The company increased its full-year 2007 guidance from a range of $2.15 to $2.21 to a range of $2.23 to $2.29. Analysts are in agreement as evidenced by current 2007 estimates of $2.28 per share, up from last month's $2.22. ESRX offers a ROE of 54.03 and a price to sales ratio of 0.76.
Matrix Service Co. (Nasdaq: MTRX) issued a fiscal year 2008 revenue guidance of $700 million to $750 million in mid-June. MTRX has a ROE of 22.34 and a price to sales ratio of 0.95. In early April, the company reported fiscal third-quarter earnings of 24 cents per share, beating the consensus estimate by 33%. MTRX exceeded analysts' expectations each time over the past five consecutive quarters.
AMERCO (Nasdaq: UHAL) sports a ROE of 12.42 and its price to sales ratio is 0.60. The company will release fiscal first-quarter results on August 8, 2007. In early June, the company announced a fiscal fourth-quarter loss of 89 cents, which was better than the consensus estimate by 2%.
Discover all the current stocks currently on the ROE Profit Track at: http://at.zacks.com/?id=1854
About Profit Tracks
What is a "Profit Track"? Each Profit Track is a successful stock picking strategy with proven results through the Bear Market of 2001-2002 and the Bull run started in 2003. On Zacks.com we have created these nine unique screens to offer investors great strategies to potentially outperform the market in the years ahead. In 2006, the Low Price Stocks strategy was the top performing Profit Track with a return of 56.5% followed by the Discounted Fundamental screen with a 34% return. To see all nine strategies along with philosophy, past performance and current stocks, go to http://at.zacks.com/?id=1838.
All the Profit Track strategies were created and backtested using the Research Wizard software from Zacks Investment Research. If you like this screening strategy, but want to narrow down the list of stocks and even improve the performance, then you should start a free trial to this powerful stock picking tool. Learn more about the Research Wizard free trial offer and our new special report "Top 10 Stock Screening Strategies" at http://at.zacks.com/?id=2156
About Zacks
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leonard Zacks. As a PhD in mathematics Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=1841
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
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 September 2006 are based on a subset of all Zacks Rank stocks that excludes stocks covered by only one analyst and ADR's.
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.
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