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Zacks Return On Equity Strategy highlights: American Home Mortgage Investment Corp., Avnet, General Cable Corp. and Keystone Automotive Industries

Business Wire, March 1, 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 the first nine months of 2006, it continued to outperform the S&P 500, returning 26.7% versus the S&P 500 rise of 12.6%. Four stocks meeting this screen's exclusive criteria are American Home Mortgage Investment Corp. (NYSE: AHM), Avnet, Inc. (NYSE: AVT), General Cable Corp. (NYSE: BGC) and Keystone Automotive Industries Inc. (Nasdaq: KEYS). 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:

American Home Mortgage Investment Corp. (NYSE: AHM) has a ROE of 20.09 and a price to sales ratio is 0.63. In late January, the company reported fourth-quarter earnings of $1.21 per share, soaring past the previous year's 27 cents and surpassing the consensus estimate by nearly 2%. In fact, AHM delivered earnings per share that topped Analyst expectations over the past five consecutive quarters.

Avnet, Inc. (NYSE: AVT) satisfies the criteria for this Profit Track as evidenced by its ROE of 12.05 and price to sales ratio is 0.35. The company announced fiscal second-quarter earnings of 67 cents per share in late January. The result exceeded the consensus estimate by 8% and outperformed the year-ago total. AVT stated that its strong quarterly performance was the result of its highly diversified revenue base and continuously improving expense productivity across both operating groups.

General Cable Corp. (NYSE: BGC) recently completed the acquisition of Jiangyin Huaming Specialty Cable Co. Ltd., a Chinese manufacturer of specialty automotive and industrial cable products. In early February, the company posted fourth-quarter earnings of 67 cents per share. The result surpassed analysts' expectations by 14% and soared past the previous year's total. Revenues climbed to $925.3 million from last year's $617.5 million. The company sports a ROE of 34.76 and a price to sales ratio is 0.70.

Keystone Automotive Industries Inc. (Nasdaq: KEYS) offers a ROE of 11.28 and a price to sales ratio is 0.78. In late January, the company noted that it delivered record earnings and sales for its fiscal third quarter. Earnings per share totaled 57 cents, which surpassed the previous year's 44 cents and jumped ahead of the consensus estimate by 21%.

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. For the first nine months of 2006, the Low Price Stocks strategy was the top performing Profit Track with a return of 42.7% followed by the Discounted Fundamental screen with a 29.7% 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.

(a) The S&P 500 Index ("S&P 500") is a well-known, unmanaged index of the prices of 500 large-company common stocks selected by Standard and Poor's. The S&P 500 includes the reinvestment of all dividends, no transaction costs, and represents the gross returns before management fees.

 

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