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Zacks Buy List Highlights: Clayton Holdings, Inc., Alcon, Inc., CDI Corp. and GAMCO Investors, Inc

Business Wire, March 7, 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 Clayton Holdings, Inc. (Nasdaq: CLAY), Alcon, Inc. (NYSE: ACL), CDI Corp. (NYSE: CDI), and GAMCO Investors, Inc. (NYSE: GBL).

Stocks ranked #1 (Strong Buy) by Zacks have produced an average annual return of 31.8% 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 - Clayton Holdings, Inc. (Nasdaq: CLAY)

Clayton Holdings, Inc. reported excellent fourth-quarter results. CLAY came in with 24 cents per share in earnings, four cents ahead of the consensus estimate. This marked the third consecutive quarter in which the company posted a 20% positive earnings surprise. As a result, this year's earnings estimates have jumped 15 cents to $1.03 per share over the past month.

Growth & Income - Alcon, Inc. (NYSE: ACL)

Alcon, Inc. exceeded analysts' earnings expectations in 13 out of the past 16 quarters. After issuing bullish guidance for 2007, analysts responded by raising their earnings estimates. In early February, the Board of Directors expanded the company's share repurchase program by five million shares. ACL is currently yielding 1.1% and has a five-year average dividend yield of 0.60%.

Momentum - CDI Corp. (NYSE: CDI)

On Feb 27, CDI Corporation reported fourth-quarter earnings per share of 30 cents, an increase of 30.4% from last year and a positive 11% surprise above analysts' expectations. On Monday the stock set a six-month high on heavy volume. The key to how CDI can perform for the rest of 2007 will depend on how well it is able to handle the considerable overhead resistance between $29 - $30.

Value - GAMCO Investors, Inc. (NYSE: GBL)

GAMCO Investors, Inc., a Zacks #1 Rank stock, recently reported record fourth-quarter earnings per share. Results for the full year were also solid. The consensus estimate for this year is up over the past 30 days. The Board of Directors has returned value to its shareholder base through both dividend distributions and share buybacks. GBL has a price-to-book ratio of 2.7, compared to 4.2 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." A $10,000 investment in the Zacks Rank list made in 1988 would now be worth $1.77 million - equivalent to a 31.8% annualized return! 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 143.6% annually ( 4.8% vs. 11.8%). Thus, the Zacks Rank system allows investors to truly manage portfolio trading effectively.

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

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 & 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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