Business Services Industry
Zacks Buy List Highlights: Kennametal, Inc., Corn Products International, Inc., Whirlpool Corporation and Sun Life Financial, Inc
Business Wire, June 19, 2007
CHICAGO -- Zacks.com releases the latest list of Zacks Rank Buy Stocks. Everyday on Zacks.com, four stocks are selected based on how well they match the criteria for the four main schools of investing: Aggressive Growth, Growth & Income, Momentum and Value. The four Zacks Rank Buy stocks highlighted today are Kennametal, Inc. (NYSE: KMT), Corn Products International, Inc. (NYSE: CPO), Whirlpool Corporation (NYSE: WHR), and Sun Life Financial, Inc. (NYSE: SLF).
Stocks ranked #1 (Strong Buy) by Zacks have produced an average annual return of 31.9% since inception in 1988. During the 2000-2002 bear market, Zacks #1 Rank stocks gained 43.8% while the S&P 500 tumbled -37.6%. To see the full Zacks #1 Rank (Strong Buy) List, or the rank for any other stock, visit: http://at.zacks.com/?id=88
Here is a synopsis of today's Zacks Rank Buy Stocks:
Aggressive Growth - Kennametal, Inc. (NYSE: KMT)
Kennametal, Inc. has been generating healthy amounts of cash flows and profits. The company is also benefiting from the strong growth of emerging economies. Next quarter's earnings estimates have jumped 13 cents to $1.04 per share over the past 90 days. Next year's numbers have also risen 31 cents to $5.41 per share. The company has exceeded earnings estimates in six straight quarters. Three analysts have raised their forecasts for this fiscal year.
Growth & Income - Corn Products International, Inc. (NYSE: CPO)
Corn Products International, Inc. exceeded analysts' earnings expectations in three out of the past four quarters by an average margin of 32.6%. In late April, the company reported record first-quarter earnings per share and revenues. CPO also raised its full-year 2007 profit guidance. Earnings per share are projected to grow 11% over the next 3-5 years. CPO has a current dividend yield of 0.83%.
Momentum - Whirlpool Corporation (NYSE: WHR)
On Apr 24, Whirlpool Corporation reported first-quarter earnings of $1.55 per share, up from $1.70 in the year-ago period and 42 cents above expectations. Momentum appeared to wane in early May, as the stock leveled off; however, renewed price acceleration has driven WHR to new highs. With no resistance to impede the underlying trend, the stock should continue moving higher.
Value - Sun Life Financial, Inc. (NYSE: SLF)
Sun Life Financial, Inc. beat the Street's earnings estimate in eight consecutive quarters by an average margin of 11.5%. Consensus earnings estimates are up over the past 30 days. SLF has returned value to its shareholders through both share repurchases and dividend payments. The company has a price-to-book ratio of 2.0, compared to 4.6 for the market.
Truly taking advantage of the Zacks Rank requires the understanding of how it works. The free special report, "Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions," provides an insightful background about this wealth-building tool. Download your free copy of the report now to prosper in the years to come by visiting http://at.zacks.com/?id=93.
About the Zacks Rank
Since 1988, the Zacks Rank has proven that "Earnings estimate revisions are the most powerful force impacting stock prices." Since inception in 1988, #1 Rank stocks have generated an average annual return of 31.9%. During the 2000-2002 bear market, Zacks #1 Rank stocks gained 43.8%, while the S&P 500 tumbled -37.6%. Also note that the Zacks Rank system has just as many Strong Sell recommendations (Rank #5) as Strong Buy recommendations (Rank #1). Since 1988, Zacks Rank #5 stocks have underperformed the S&P 500 by 132% annually ( 5.1% vs. 11.9%). Thus, the Zacks Rank system allows investors to truly manage portfolio trading effectively.
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.
Zacks "Profit from the Pros" e-mail newsletter offers continuous coverage of Zacks Rank Buy stocks and highlights those stocks poised to outperform the market. Subscribe to this free newsletter today by visiting http://at.zacks.com/?id=90.
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 http://at.zacks.com/?id=91
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