Zacks Return On Equity Strategy Highlights: Fairfax Financial Holdings, Consolidated Graphics, Universal, and Hughes Communications

Business Wire, March 25, 2008

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 Fairfax Financial Holdings Ltd. (NYSE: FFH), Consolidated Graphics Inc. (NYSE: CGX), Universal Corp. (NYSE:UVV), Hughes Communications, Inc. (NASDAQ: HUGH). 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:

Fairfax Financial Holdings Ltd. (NYSE: FFH), through its subsidiaries, engages in property and casualty insurance and reinsurance, as well as investment management. In the fourth quarter, FFH reported its best financial results in its 22-year history. Fourth-quarter net profits jumped to $563.6 million, compared to $159.1 million, while annual profits skyrocketed to $1.1 billion, compared to $227.5 million. The Zacks #1 Rank company sports an average broker recommendation of 2.50 and a ROE of 30.68%. In addition, FFH has a low price/sales ratio of .62.

Consolidated Graphics Inc. (NYSE: CGX), headquartered in Houston, Texas, is one of North America's leading general commercial printing companies. CGX enjoys a ROE of 18.44% and a price/sales ratio of .56, satisfying this screen's parameters of a ROE greater than 10% and a price/sales ratio less than 1. The Zacks #1 company had a strong year, with third-quarter earnings increasing to $19.4 million, compared to $16.4 million. CGX announced that the revenue guidance for the fourth quarter will be in line with the analysts' expectations, with projected revenue between $270 million and $280 million.

Universal Corp. (NYSE:UVV) is one of the world's leading leaf tobacco merchants and processors, with an average broker recommendation of 1.50 and a Zacks #1 Rank. The company's fourth-quarter income for continuing operations increased by 42% in the third quarter, jumping to $50.8 million from $35.8 million. Sales and other operating revenues were up by 12%. UVV earned its place on this profit track with an impressive price/sales ratio of .82 and a ROE of 17.08%

Hughes Communications, Inc. (NASDAQ: HUGH) more than doubled it's fourth quarter earnings, with year-to-year profits increasing to $19.9 million from $9.5 million. HUGH earned its place on this profit track with an average broker recommendation of 1.50 and a ROE of 18.12%. Additionally, the Zacks #1 Rank company has a low price/sales ratio of .95, which suggests that HUGH is a good value. HUGH is the global leader in providing broadband satellite networks and services for enterprises, governments, and small businesses.

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.

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