Zacks Buy List Highlights: Baker Hughes Incorporated, Administaff, Inc., Encore Acquisition Company and The Andersons, Inc

Business Wire, Oct 9, 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 Baker Hughes Incorporated (NYSE: BHI), Administaff, Inc. (NYSE: ASF), Encore Acquisition Company (NYSE: EAC), and The Andersons, Inc. (Nasdaq: ANDE).

Stocks ranked #1 (Strong Buy) by Zacks have produced an average annual return of +32.2% 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 - Baker Hughes Incorporated (NYSE: BHI)

Baker Hughes Incorporated is enjoying strong leverage to the current oilfield cycle. Price increases are helping to expand profit margins. Earnings estimates have risen a penny for this year and four cents for next year over the past 30 days. The stock has an excellent ROE of 27%, well above the industry average of 21%. Analysts expect earnings to grow 23.2% next year.

Growth & Income - Administaff, Inc. (NYSE: ASF)

Administaff, Inc. reported solid second-quarter and year-to-date results in early August. Earnings per share are projected to grow 19% over the next 3-5 years, with the industry projected to grow by 17%. On Aug 9, the Board of Directors declared a quarterly cash dividend of 11 cents per share. ASF has a current dividend yield of 1.1%. The company's return on equity tops that of the industry average--22% compared to 15%.

Momentum - Encore Acquisition Company (NYSE: EAC)

Encore Acquisition Company is registering strong revenue growth due to increased production volumes. Going forward, it believes it can grow production 6-8% organically. Over the past month, this year's earnings estimates have increased 15 cents to $1.32 per share. Analysts expect earnings to jump another 51% next year. The past two quarters have produced an average positive surprise of over 33%.

Value - The Andersons, Inc. (Nasdaq: ANDE)

The Andersons, Inc. reported record second-quarter and first-half net income and earnings per share in early August. Consequently, the company boosted its full-year earnings per share outlook to between $2.90 and $3.15. This Zacks #1 Rank stock recently raised its quarterly cash dividend by 63% to 7.75 cents per share. ANDE is currently yielding 0.65% and has a price-to-book ratio of 2.8.

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 +32.2%. 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 129% annually (+5.3% vs. +12.1%). 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 June 2007 are based on a subset of all Zacks Rank stocks that excludes stocks covered by only one analyst and ADR's.

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