Zacks Releases New Stock Picks from the +21.7% Value Strategy: World Fuel Services, Plains Exploration & Production, Appliance Recycling Centers of America, Pantry and DEI Holdings

Business Wire, Jan 21, 2009

CHICAGO -- Stock picks from the Value Method (VM1) strategy are being spotlighted today by Zacks, the nation's largest independent stock research firm. This strategy surged 21.7% during the first half 2008, while the S&P 500 dropped by nearly -12%. In fact, from 2001 through 2007, the strategy has averaged 41.9% yearly.

The firm is now providing investors with all that's needed to pick their own stocks using the VM1 system. This opportunity may be reached at http://at.zacks.com/?id=4775.

Value Method focuses on companies marked by analysts for sharply higher earnings. It starts with companies that have been awarded Zacks #1 Rank "Strong Buy" or Zacks #2 Rank "Buy" and then limits its picks to stocks that are trading at significantly lower valuation multiples than others in their industry. Wall Street is just beginning to recognize their true worth. Stocks that recently met the criteria for the Value Method (VM1) strategy include: World Fuel Services Corp. (NYSE: INT), Plains Exploration & Production Co. (NYSE:PXP), Appliance Recycling Centers of America, Inc. (NASDAQ: ARCI), Pantry, Inc. (NASDAQ: PTRY) and DEI Holdings, Inc. (NASDAQ: DEIX).

Here are details about 5 featured Value stock picks . . .

World Fuel Services Corp. (NYSE: INT) traded near a 52-week high after more than doubling its earnings per share in the third quarter. The company's quarterly profit on a per share basis was $1.37 compared with 56 cents last year. While the Zacks #2 Rank ("Buy") company continues its superior performance, the stock still remains cheap, with a P/E of just 9.8X.

Plains Exploration & Production Co. (NYSE:PXP) entered 2009 with $1.3 billion of liquidity and strong production growth from its Texas, Flatrock and Haynesville assets. It also has a very favorable hedging program securing more than 80% of its production. The Zacks #2 Rank ("Buy") company topped the consensus estimate in all of the last 4 quarters, but still has a P/E multiple of only 2.24X.

Appliance Recycling Centers of America Inc. (NASDAQ: ARCI) reported solid growth in the third quarter, with earnings of 25 cents per share that comfortably exceeding the consensus estimate of 17 cents. The Zacks #2 Rank ("Buy") company has a P/E of 5X and P/S multiple of 0.11X, both significantly lower than the industry average.

Pantry Inc. (NASDAQ: PTRY) posted earnings of $1.03 per share in the fourth quarter, beating Wall Street expectations by nearly 29% with the help of higher gas prices. The Zacks #1 Rank ("Strong Buy") company saw the consensus estimate for 2009 going up by 3 cents to $1.88 per share over the past month. Pantry's valuation is still appealing with a P/E of 13X.

DEI Holdings Inc. (NASDAQ: DEIX) swung to profit in the third quarter with net income of $1.1 million, compared to last year's loss of $1.3 million. The company continues restructuring its operations and is exiting its satellite radio receiver business to save costs. DEIX offers a P/E that is as low as 0.89X.

Investors can find new Value Method picks by themselves without classes or seminars.

The strategy may now be accessed and used through the new Zacks Method for Trading which helps investors "do it themselves" in their own homes, at their own paces. Rather than waiting for someone to send them picks from winning strategies, these people are using their computers to get to them first.

The Zacks Method, in fact, gives individuals a unique advantage over slower-moving stock fund managers. It allows them to apply the full force of the Zacks Rank stock-picking system that has beaten the market for 19 of the past 20 years. For more information, click here: http://at.zacks.com/?id=4714

About Zacks

Zacks Investment Research, Inc. was formed in 1978. Its founder, Len Zacks, a mathematics Ph.D., discovered that revisions to earnings estimates are the most powerful forces that influence stock prices. Today, his company continually processes stock reports issued by 3,000 analysts from 150 brokerage firms. It monitors more than 200,000 earnings estimates, looking for changes.

Then, when changes are discovered, they're used to assign more than 4,400 stocks into five Zacks Rank categories: #1 Strong Buy, #2 Buy, #3 Hold, #4 Sell, and #5 Strong Sell. This proprietary stock-picking system continues to outperform the market by a nearly 3-to-1 margin.

Click here for facts about the Zacks Method for Trading and its latest picks . . .

http://at.zacks.com/?id=4715

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.

Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.

Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.