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Price To Earnings Ratio Insights For AstroNova

    Looking into the current session, AstroNova Inc. (NASDAQ:ALOT) is trading at $14.99, after a 10.24% decrease. Over the past month, the stock fell by 14.83%, but over the past year, it actually went up by 29.02%. With questionable short-term performance like this, and great long-term performance, long-term shareholders might want to start looking into the company's price-to-earnings ratio. Assuming that all other factors are held constant, this could present itself as an opportunity for shareholders trying to capitalize on the higher share price. The ...Full story available on Benzinga.com.....»»

Category: earningsSource: benzingaDec 4th, 2021

Here is Why UnitedHealth (UNH) Should Grace Your Portfolio

A solid positioning in an ever-growing industry makes UnitedHealth (UNH) a top pick for strong investment gains. Making an industry leader part of your investment portfolio provides an overall stability and boosts profitability. Industry leaders by virtue of their dominant market position and robust balance sheet have higher capabilities to tide the economic swings and emerge unhurt. Thus, one should always keep such stocks at one’s disposal and if such a company belongs to a resilient industry such as health insurance then the degree of stability increases.  Today we will talk about the health insurance leader UnitedHealth  Group Inc. UNH, which has gained 16.8% year to date compared with the industry's growth of 14.8%, and why buying this stock can be a good investment move. Image Source: Zacks Investment ResearchFirst of all, the company has an exemplary track record of earnings outperformance and a look at the last 28 quarters show surprises in each period. Though past performances do not guarantee future results but the same does give a great deal of insights into the company’s ability to successfully navigate the ups and downs in the economy and business cycles, its enterprise risk management and its business resilience.UnitedHealth is a dynamic company, which has evolved constantly. Since the Affordable Care Act came into effect in 2010 and imposed a number of restrictions on health insurers. The company kept modifying and diversifying its business to align with the changes in the industry and has emerged successfully over the past decade. An investor holding its shares for the past 10 years would have lapped up a return of 766% compared with the S&P’s Index return of 288% over the same time frame.UnitedHealth looks well poised for growth for the foreseeable future. Let’s analyze the reasons here:A Well-Diversified Business: UnitedHealth is present across different verticals, right from selling its health insurance plans via its segment, UnitedHealthcare to other areas of health care, such as pharmacy management, information and technology-enabled health services business, ambulatory care systems etc. These services are provided by its unit named Optum. Most of the same has been built by making small and big acquisitions over the past several years. No other insurer matches the scale of diversification like UnitedHealth.The company’s flourishing business will continue to propel its earnings. It is on a continuous hunt for acquiring the best-fitting entity that can add to its capabilities. With a successful integration track record, the company will be able to reap synergies from its judicious takeovers.Large-Scale Presence in an Attractive Market: UnitedHealth holds the number one spot in the for-profit or private Medicare Advantage (MA) market with other players like Aetna, a unit of CVS, Anthem Inc. ANTM, Centene Corp. CNC and Cigna Corp. CI following close.UnitedHealthcare has the largest share of Medicare Advantage enrollment since 2010. Its share of Medicare Advantage enrollment has grown from 19% in 2010 to 27% in 2021. The MA market, which is the private version of the public Medicare plans, is expected to grow fast as it caters to the aging baby boomer population, which is growing each year. A large market share with many of its plans carrying star ratings should fetch the company impressive membership growth.  International Operations Augur Well: UnitedHealth is one of the few insurers that has presence outside the United States, which provides it with benefits of geographical diversification. Its global business continues to be an early-stage investment area and bodes well for the long term.Solid Growth Outlook: The company’s guidance raises enough optimism for the long haul. Its long-term earnings per share (EPS) growth view is projected at 13-16% per annum, on average, with about two-thirds (8-11%) of the same being driven by earnings from operations and one-third (3-5%) from capital deployment.Sturdy Capital Position: A consistent favorable cash flow enables it to pursue growth strategies, such as buyouts and capital management via dividend payments and share buybacks. The current dividend yield is 1.36%, which has grown at 25.16% rate per year for the past 10 years. With a payout ratio of 30%, dividend growth is well-cushioned by the company’s robust earnings.BottomlineThe stock currently carries a Zacks Rank #2 (Buy) and is sure to display a share price appreciation by virtue of its strong business and growth visibility. It should thus be part of one’s investment portfolio for solid gains. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.  Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report UnitedHealth Group Incorporated (UNH): Free Stock Analysis Report Cigna Corporation (CI): Free Stock Analysis Report Centene Corporation (CNC): Free Stock Analysis Report Anthem, Inc. (ANTM): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksSep 22nd, 2021

Funko-A (FNKO) Stock Sinks As Market Gains: What You Should Know

In the latest trading session, Funko-A (FNKO) closed at $17.80, marking a -1.39% move from the previous day. Funko-A (FNKO) closed at $17.80 in the latest trading session, marking a -1.39% move from the prior day. This change lagged the S&P 500's daily gain of 0.08%. At the same time, the Dow lost 0.56%, and the tech-heavy Nasdaq lost 0.42%.Heading into today, shares of the company had gained 5.49% over the past month, outpacing the Consumer Discretionary sector's loss of 1.36% and the S&P 500's gain of 0.22% in that time.Investors will be hoping for strength from Funko-A as it approaches its next earnings release. On that day, Funko-A is projected to report earnings of $0.23 per share, which would represent a year-over-year decline of 20.69%. Meanwhile, our latest consensus estimate is calling for revenue of $274.34 million, up 21.12% from the prior-year quarter.Investors might also notice recent changes to analyst estimates for Funko-A. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.71% higher within the past month. Funko-A is holding a Zacks Rank of #2 (Buy) right now.Looking at its valuation, Funko-A is holding a Forward P/E ratio of 13.05. For comparison, its industry has an average Forward P/E of 15.49, which means Funko-A is trading at a discount to the group.It is also worth noting that FNKO currently has a PEG ratio of 0.47. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Consumer Products - Discretionary was holding an average PEG ratio of 0.62 at yesterday's closing price.The Consumer Products - Discretionary industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 96, putting it in the top 38% of all 250+ industries.The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Funko, Inc. (FNKO): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

Intuitive Surgical, Inc. (ISRG) Stock Sinks As Market Gains: What You Should Know

Intuitive Surgical, Inc. (ISRG) closed at $307.74 in the latest trading session, marking a -1.75% move from the prior day. Intuitive Surgical, Inc. (ISRG) closed the most recent trading day at $307.74, moving -1.75% from the previous trading session. This change lagged the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.28%.Prior to today's trading, shares of the company had lost 6.37% over the past month. This has lagged the Medical sector's loss of 4.1% and the S&P 500's gain of 0.22% in that time.Wall Street will be looking for positivity from Intuitive Surgical, Inc. as it approaches its next earnings report date. This is expected to be January 20, 2022. In that report, analysts expect Intuitive Surgical, Inc. to post earnings of $1.28 per share. This would mark year-over-year growth of 7.56%. Our most recent consensus estimate is calling for quarterly revenue of $1.53 billion, up 14.89% from the year-ago period.Investors might also notice recent changes to analyst estimates for Intuitive Surgical, Inc.These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.22% higher within the past month. Intuitive Surgical, Inc. currently has a Zacks Rank of #2 (Buy).Valuation is also important, so investors should note that Intuitive Surgical, Inc. has a Forward P/E ratio of 56.9 right now. This valuation marks a premium compared to its industry's average Forward P/E of 44.02.It is also worth noting that ISRG currently has a PEG ratio of 5.69. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. ISRG's industry had an average PEG ratio of 2.52 as of yesterday's close.The Medical - Instruments industry is part of the Medical sector. This group has a Zacks Industry Rank of 168, putting it in the bottom 35% of all 250+ industries.The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.To follow ISRG in the coming trading sessions, be sure to utilize Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Intuitive Surgical, Inc. (ISRG): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

Harmonic (HLIT) Outpaces Stock Market Gains: What You Should Know

Harmonic (HLIT) closed at $11.44 in the latest trading session, marking a +0.79% move from the prior day. Harmonic (HLIT) closed at $11.44 in the latest trading session, marking a +0.79% move from the prior day. This move outpaced the S&P 500's daily gain of 0.08%. Elsewhere, the Dow lost 0.56%, while the tech-heavy Nasdaq lost 0.28%.Coming into today, shares of the video services provider had gained 5% in the past month. In that same time, the Computer and Technology sector lost 5.11%, while the S&P 500 gained 0.22%.Harmonic will be looking to display strength as it nears its next earnings release. In that report, analysts expect Harmonic to post earnings of $0.14 per share. This would mark a year-over-year decline of 30%. Meanwhile, our latest consensus estimate is calling for revenue of $151.93 million, up 15.51% from the prior-year quarter.Any recent changes to analyst estimates for Harmonic should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Harmonic is holding a Zacks Rank of #3 (Hold) right now.Investors should also note Harmonic's current valuation metrics, including its Forward P/E ratio of 22.25. This represents a premium compared to its industry's average Forward P/E of 20.29.Investors should also note that HLIT has a PEG ratio of 1.48 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. HLIT's industry had an average PEG ratio of 1.48 as of yesterday's close.The Communication - Components industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 168, which puts it in the bottom 35% of all 250+ industries.The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Harmonic Inc. (HLIT): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

CubeSmart (CUBE) Stock Sinks As Market Gains: What You Should Know

In the latest trading session, CubeSmart (CUBE) closed at $51.08, marking a -1.94% move from the previous day. CubeSmart (CUBE) closed the most recent trading day at $51.08, moving -1.94% from the previous trading session. This change lagged the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.Coming into today, shares of the self-storage company had lost 4.46% in the past month. In that same time, the Finance sector gained 5.73%, while the S&P 500 gained 0.22%.Investors will be hoping for strength from CubeSmart as it approaches its next earnings release. In that report, analysts expect CubeSmart to post earnings of $0.56 per share. This would mark year-over-year growth of 19.15%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $224.18 million, up 25.39% from the year-ago period.Investors might also notice recent changes to analyst estimates for CubeSmart. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. CubeSmart is currently sporting a Zacks Rank of #1 (Strong Buy).Looking at its valuation, CubeSmart is holding a Forward P/E ratio of 21.68. For comparison, its industry has an average Forward P/E of 15.58, which means CubeSmart is trading at a premium to the group.Meanwhile, CUBE's PEG ratio is currently 1.94. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The REIT and Equity Trust - Other was holding an average PEG ratio of 2.77 at yesterday's closing price.The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 104, putting it in the top 41% of all 250+ industries.The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.To follow CUBE in the coming trading sessions, be sure to utilize Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CubeSmart (CUBE): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksJan 14th, 2022

MPLX LP (MPLX) Outpaces Stock Market Gains: What You Should Know

MPLX LP (MPLX) closed at $31.51 in the latest trading session, marking a +0.41% move from the prior day. MPLX LP (MPLX) closed the most recent trading day at $31.51, moving +0.41% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.08%. Elsewhere, the Dow lost 0.56%, while the tech-heavy Nasdaq lost 0.42%.Coming into today, shares of the company had gained 9.11% in the past month. In that same time, the Oils-Energy sector gained 10.22%, while the S&P 500 gained 0.22%.Investors will be hoping for strength from MPLX LP as it approaches its next earnings release, which is expected to be February 2, 2022. In that report, analysts expect MPLX LP to post earnings of $0.74 per share. This would mark year-over-year growth of 17.46%. Our most recent consensus estimate is calling for quarterly revenue of $2.31 billion, up 2.59% from the year-ago period.It is also important to note the recent changes to analyst estimates for MPLX LP. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.06% higher. MPLX LP currently has a Zacks Rank of #2 (Buy).Digging into valuation, MPLX LP currently has a Forward P/E ratio of 10.08. Its industry sports an average Forward P/E of 12.8, so we one might conclude that MPLX LP is trading at a discount comparatively.The Oil and Gas - Production and Pipelines industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 86, which puts it in the top 34% of all 250+ industries.The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.You can find more information on all of these metrics, and much more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report MPLX LP (MPLX): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksJan 14th, 2022

Materialise (MTLS) Outpaces Stock Market Gains: What You Should Know

Materialise (MTLS) closed the most recent trading day at $20.70, moving +0.68% from the previous trading session. Materialise (MTLS) closed the most recent trading day at $20.70, moving +0.68% from the previous trading session. This change outpaced the S&P 500's 0.08% gain on the day. Elsewhere, the Dow lost 0.56%, while the tech-heavy Nasdaq lost 0.42%.Coming into today, shares of the 3D printing software and medical and industrial products company had lost 8.78% in the past month. In that same time, the Computer and Technology sector lost 5.11%, while the S&P 500 gained 0.22%.Wall Street will be looking for positivity from Materialise as it approaches its next earnings report date. The company is expected to report EPS of $0.06, up 50% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $60.92 million, up 9.58% from the year-ago period.Any recent changes to analyst estimates for Materialise should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Materialise is currently sporting a Zacks Rank of #3 (Hold).Looking at its valuation, Materialise is holding a Forward P/E ratio of 88.11. This represents a premium compared to its industry's average Forward P/E of 54.25.The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 176, which puts it in the bottom 31% of all 250+ industries.The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.To follow MTLS in the coming trading sessions, be sure to utilize Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Materialise NV (MTLS): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

Epam (EPAM) Outpaces Stock Market Gains: What You Should Know

Epam (EPAM) closed the most recent trading day at $543.06, moving +0.45% from the previous trading session. Epam (EPAM) closed the most recent trading day at $543.06, moving +0.45% from the previous trading session. This change outpaced the S&P 500's 0.08% gain on the day. Elsewhere, the Dow lost 0.56%, while the tech-heavy Nasdaq lost 0.42%.Coming into today, shares of the information technology services provider had lost 14.96% in the past month. In that same time, the Computer and Technology sector lost 5.11%, while the S&P 500 gained 0.22%.Wall Street will be looking for positivity from Epam as it approaches its next earnings report date. The company is expected to report EPS of $2.50, up 38.12% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.08 billion, up 49.88% from the year-ago period.Any recent changes to analyst estimates for Epam should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Epam is currently sporting a Zacks Rank of #3 (Hold).Looking at its valuation, Epam is holding a Forward P/E ratio of 48.37. This represents a premium compared to its industry's average Forward P/E of 30.26.It is also worth noting that EPAM currently has a PEG ratio of 1.73. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. EPAM's industry had an average PEG ratio of 1.46 as of yesterday's close.The Computers - IT Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 106, putting it in the top 42% of all 250+ industries.The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report EPAM Systems, Inc. (EPAM): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksJan 14th, 2022

Edwards Lifesciences (EW) Stock Sinks As Market Gains: What You Should Know

Edwards Lifesciences (EW) closed at $118.26 in the latest trading session, marking a -1.83% move from the prior day. Edwards Lifesciences (EW) closed the most recent trading day at $118.26, moving -1.83% from the previous trading session. This change lagged the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.Coming into today, shares of the medical device maker had gained 0.74% in the past month. In that same time, the Medical sector lost 4.1%, while the S&P 500 gained 0.22%.Investors will be hoping for strength from Edwards Lifesciences as it approaches its next earnings release. In that report, analysts expect Edwards Lifesciences to post earnings of $0.54 per share. This would mark year-over-year growth of 8%. Our most recent consensus estimate is calling for quarterly revenue of $1.35 billion, up 12.96% from the year-ago period.It is also important to note the recent changes to analyst estimates for Edwards Lifesciences. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.14% higher. Edwards Lifesciences is holding a Zacks Rank of #3 (Hold) right now.Digging into valuation, Edwards Lifesciences currently has a Forward P/E ratio of 47.53. This represents a premium compared to its industry's average Forward P/E of 44.02.Meanwhile, EW's PEG ratio is currently 3.39. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Medical - Instruments was holding an average PEG ratio of 2.52 at yesterday's closing price.The Medical - Instruments industry is part of the Medical sector. This group has a Zacks Industry Rank of 168, putting it in the bottom 35% of all 250+ industries.The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.You can find more information on all of these metrics, and much more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Edwards Lifesciences Corporation (EW): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

First Solar (FSLR) Outpaces Stock Market Gains: What You Should Know

First Solar (FSLR) closed at $83.02 in the latest trading session, marking a +0.29% move from the prior day. First Solar (FSLR) closed the most recent trading day at $83.02, moving +0.29% from the previous trading session. This change outpaced the S&P 500's 0.08% gain on the day. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.42%.Coming into today, shares of the largest U.S. solar company had lost 9.23% in the past month. In that same time, the Oils-Energy sector gained 10.22%, while the S&P 500 gained 0.22%.Wall Street will be looking for positivity from First Solar as it approaches its next earnings report date. In that report, analysts expect First Solar to post earnings of $1.07 per share. This would mark a year-over-year decline of 0.93%. Meanwhile, our latest consensus estimate is calling for revenue of $906.43 million, up 48.78% from the prior-year quarter.Investors might also notice recent changes to analyst estimates for First Solar. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 1.35% lower. First Solar currently has a Zacks Rank of #3 (Hold).Digging into valuation, First Solar currently has a Forward P/E ratio of 39.65. For comparison, its industry has an average Forward P/E of 39.13, which means First Solar is trading at a premium to the group.We can also see that FSLR currently has a PEG ratio of 3.67. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Solar stocks are, on average, holding a PEG ratio of 1.88 based on yesterday's closing prices.The Solar industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 189, which puts it in the bottom 26% of all 250+ industries.The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.You can find more information on all of these metrics, and much more, on Zacks.com. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report First Solar, Inc. (FSLR): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksJan 14th, 2022

Is Inflation Burning a Hole in Pocket? Bet on Top-Ranked Cheap ETFs

Let's take a look at some top-ranked ETFs with relatively lower expense ratios that can be considered amid the highly inflationary environment. High inflation levels continue to be a serious concern for Americans. Once again, the release of the latest inflation data reports demonstrates the metrics’ touching of record-high levels. It seems like the Federal Reserve is prepared to deal with the high inflation levels this year and will make efforts to bring them to the target range.The December producer price index increased 9.7% year over year by the recently released reports, coming in at the highest level on record since 2010. Meanwhile, the metric was up 0.2% over the prior month, better than the Dow Jones estimate of 0.4% .Per the latest Labor Department report, the Consumer Price Index (CPI) in December rose 7% year over year, on par with the Dow Jones estimate, per a CNBC article. The metric came in at the highest level since June 1982 and covers a basket of products, ranging from gasoline and health care to groceries and rents. It also increased 0.5% for the month, surpassing the 0.4% Dow Jones estimate. The soaring food, shelter and used vehicle prices might be primarily responsible for the higher inflation levels.Excluding food and energy prices, the core CPI was up 0.6%, worse than the estimate of 0.5%. Annual core inflation also increased at a 5.5% pace, in comparison with the 5.4% expectation and came in at the highest level since February 1991 (per a CNBC article).Notably, the hot inflation data has compelled investors to look for alternative investment options that may fare better than cash or bonds in an inflationary environment. Moreover, certain companies with compromised pricing power may take a severe hit amid inflation and future earnings may also look less attractive amid high inflation levels.Also, paying high prices for goods is slowly burning a hole in consumers' pockets. Against this backdrop, let’s take a look at some top-ranked ETFs with relatively lower expense ratios that can be considered:JPMorgan BetaBuilders U.S. Equity ETF BBUSInvestors have been upbeat about the accelerated coronavirus vaccine rollout, solid fiscal stimulus support and reopening of the U.S. economy, which may lead to faster U.S. economic recovery from the pandemic-led economic slowdown. Market participants are also seemingly coming in terms with the higher chances of a Fed rate hike in 2022 and seem like having pricing in the phenomenon. Moreover, the emergency use authorization (EUA) for Pfizer Inc.’s (PFE) antiviral COVID-19 pill, PAXLOVID, has relaxed concerns regarding Omicron to some extent. According to the verified sources, Pfizer might introduce the Omicron vaccine in March while Moderna is working on a booster that targets the variant.JPMorgan BetaBuilders U.S. Equity ETF provides simple, affordable access to U.S. large and mid-cap equities. With AUM of $945.8 million, BBUS charges a very nominal fee of 0.02%. JPMorgan BetaBuilders U.S. Equity ETF carries a Zacks ETF Rank #2 (Buy) (read: A Quick Guide to the 25 Cheapest ETFs).SPDR Portfolio S&P 500 ETF SPLGThe SPDR Portfolio S&P 500 ETF seeks to provide investment results that, before fees and expenses, correspond generally to the total return performance of the S&P 500 Index. SPLG has AUM of $13.67 billion and an expense ratio of 0.03%. The SPDR Portfolio S&P 500 ETF sports a Zacks ETF Rank #2.Vanguard MidCap ETF VOConsidering the mixed sentiments, mid-cap funds are gaining attention as they provide both growth and stability compared to their small-cap and large-cap counterparts. As such, investors seeking to capitalize on the strong fundamentals but worried about uncertainty should consider mid-cap ETFs.Vanguard Mid-Cap ETF seeks to track the performance of the CRSP US Mid Cap Index, which measures the investment return of mid-capitalization stocks. VO has AUM of $56.39 billion. Vanguard Mid-Cap ETF charges a fee of 4 basis points (bps). Vanguard MidCap ETF sports a Zacks ETF Rank #2.SPDR Portfolio S&P 500 Value ETF SPYVIt is worth noting here that value investing seems more lucrative, given the rebounding U.S. economy, the expectation of higher inflation and chances of Fed interest rate hikes. Moreover, value stocks seek to capitalize on market inefficiencies. They can deliver higher returns with lower volatility than their growth and blend counterparts. Additionally, value stocks are less exposed to trending markets and their dividend payouts offer a shield against market turbulence.SPDR Portfolio S&P 500 Value ETF seeks to provide investment results that, before fees and expenses, correspond generally to the total return performance of the S&P 500 Value Index. With AUM of $13.46 billion, it charges 4 bps in expense ratio. SPDR Portfolio S&P 500 Value ETF carries a Zacks Rank #1 (Strong Buy).Schwab U.S. LargeCap Value ETF SCHVSchwab U.S. Large-Cap Value ETF’s goal is to track as closely as possible, before fees and expenses, the total return of the Dow Jones U.S. Large-Cap Value Total Stock Market Index. With AUM of $10.68 billion, it charges 4 bps in expense ratio. Schwab U.S. Large-Cap Value ETF has a Zacks Rank #1 (read: ETF Strategies to Profit From a Historically Weak September). Want key ETF info delivered straight to your inbox? Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.Get it free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Schwab U.S. LargeCap Value ETF (SCHV): ETF Research Reports SPDR Portfolio S&P 500 Value ETF (SPYV): ETF Research Reports Vanguard MidCap ETF (VO): ETF Research Reports SPDR Portfolio S&P 500 ETF (SPLG): ETF Research Reports JPMorgan BetaBuilders U.S. Equity ETF (BBUS): ETF Research Reports To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

5 Defensive ETF Bets for Dealing With Fed Rate Hike Woes

Let's look at some safe ETF plays that investors can consider keeping in mind the rising concerns emanating from the high inflation levels and high chances of a Fed rate hike. Wall Street has been volatile since the beginning of 2022 as 10-year Treasury yields rose. The Federal Reserve has also hinted to take aggressive measures to manage rising inflation levels. It is expected to begin raising its benchmark interest rate in March. In fact, Goldman Sachs is expecting the Federal Reserve to increase interest rates four times this year, according to a CNBC article.There are certain other factors that are clouding the U.S. investment market. Investors are waiting for the fourth-quarter earnings results and the outlook to be presented by corporate America for 2022. Moreover, certain economic data releases like retail sales, industrial production, and U.S. consumer sentiment data may put further light on the U.S. economic recovery.Against this backdrop, let’s take a look at some defensive ETF options that investors can consider likeVanguard Dividend Appreciation ETF (VIG), Invesco S&P 500 Low Volatility ETF (SPLV), iShares MSCI USA Quality Factor ETF (QUAL), SPDR S&P MIDCAP 400 ETF Trust (MDY)and Vanguard Consumer Staples ETF (VDC).According to UBS strategists led by senior economist Brian Rose “We expect the US 10-year yield to move ... to around 2% over the coming months, as investors digest the Fed’s more hawkish stance along with further elevated inflation readings. That said, we don’t expect a sharp rise in yields that will imperil the equity rally. Year-over-year inflation is still likely to peak in the first quarter and recede over the year,” as mentioned in a CNBC article.Defensive ETFs in FocusGiven the current market conditions,we have highlighted some ETFs like:Vanguard Dividend Appreciation ETF VIGDividend aristocrats are blue-chip dividend-paying companies with a long history of increasing dividend payments year over year. Moreover, dividend aristocrat funds provide investors with dividend growth opportunities compared to other products in the space but might not necessarily have the highest yields. These products also form a strong portfolio, with a higher scope of capital appreciation as against simple dividend-paying stocks or those with high yields. As a result, these products deliver a nice combination of annual dividend growth and capital-appreciation opportunity and are mostly good for risk-averse long-term investors.Vanguard Dividend Appreciation ETF is the largest and the most popular ETF in the dividend space, with AUM of $68.05 billion. VIG follows the S&P U.S. Dividend Growers Index. Vanguard Dividend Appreciation ETF charges 6 basis points (bps) in annual fees (read: 5 Top-Ranked ETFs to Add to Your Portfolio for 2022).Invesco S&P 500 Low Volatility ETF SPLVDemand for funds with “low volatility” or “minimum volatility” generally increases during tumultuous times. These seemingly-safe products usually do not surge in bull market conditions but offer more protection than the unpredictable ones. These funds are less cyclical, providing more stable cash flow than the overall market.Invesco S&P 500 Low Volatility ETF provides exposure to stocks with the lowest realized volatility over the past 12 months. The fund is based on the S&P 500 Low Volatility Index and holds 102 securities in its basket. Invesco S&P 500 Low Volatility ETF hasAUM of $9.61 billion and charges an expense ratio of 25 bps, as stated in the prospectus (read: Here's Why it Makes Sense to Invest in Low-Volatility ETFs Now).iShares MSCI USA Quality Factor ETF QUALQuality stocks are rich in value characteristics with a healthy balance sheet, high return on capital, low volatility and high margins. These stocks also have a track record of stable or increasing sales and earnings growth. Compared to plain vanilla funds, these products help lower volatility and perform better during market uncertainty. Further, academic research has proven that high-quality companies constantly provide better risk-adjusted returns than the broader market over the long term.iShares MSCI USA Quality Factor ETF provides exposure to the large- and mid-cap stocks exhibiting positive fundamentals (high return on equity, stable year-over-year earnings growth and low financial leverage) by tracking the MSCI USA Sector Neutral Quality Index. With AUM of $24.23 billion, QUAL charges 0.15% in fees (read: Quality ETFs Appear Attractive as Fed Rate Hike Nears).SPDR S&P MIDCAP 400 ETF Trust MDYConsidering the mixed sentiments, mid-cap funds are gaining attention as they provide both growth and stability compared to their small-cap and large-cap counterparts. As such, investors seeking to capitalize on the strong fundamentals but worried about uncertainty should consider mid-cap ETFs.SPDR S&P MIDCAP 400 ETF Trust seeks to provide investment results that, before expenses, correspond generally to the price and yield performance of the S&P MidCap 400 Index. MDY has AUM of $21.65 billion. SPDR S&P MIDCAP 400 ETF Trust charges a fee of 23 bps (see: all the Mid Cap ETFs here).Vanguard Consumer Staples ETF VDCThe consumer staples sector is known for its non-cyclical nature and acts as a safe haven during unstable market conditions. Moreover, like utility, consumer staples is considered a stable sector for the long term as its players are likely to offer decent returns. During an economic recession, investors can consider parking their money in the non-cyclical consumer staples sector. This high-quality sector, which is largely defensive, has been found to have a low correlation factor with economic cycles.Vanguard Consumer Staples ETF seeks to track the performance of the MSCI US Investable Market Consumer Staples 25/50 Index. With AUM of $6.66 billion, VDC has an expense ratio of 10 bps. Want key ETF info delivered straight to your inbox? Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.Get it free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports SPDR S&P MidCap 400 ETF (MDY): ETF Research Reports iShares MSCI USA Quality Factor ETF (QUAL): ETF Research Reports Vanguard Consumer Staples ETF (VDC): ETF Research Reports Invesco S&P 500 Low Volatility ETF (SPLV): ETF Research Reports To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

What"s in Store for UnitedHealth Group"s (UNH) Q4 Earnings?

UnitedHealth's (UNH) Q4 results are likely to reflect a rise in earnings and revenues on the back of solid segmental contributions. UnitedHealth Group Inc. UNH is scheduled to report fourth-quarter 2021 results on Jan 19, before the opening bell.Q4 EstimatesThe Zacks Consensus Estimate for earnings per share is pegged at $4.30, indicating a rise of 70.6% from the year-ago quarter's reported figure. The consensus mark for revenues stands at $73 billion, suggesting growth of 11.7% from the prior-year quarter's reported number.Key Factors to NoteRevenues from UnitedHealthcare, UNH’s largest segment that sells insurance, are likely to have risen on higher membership in community and senior programs. UNH is likely to have added members to Medicare Advantage (MA) plans, Medicaid. Solid insurance sales of dental and vision plans might have aided premium growth. The consensus mark for revenues from the segment indicates an upside of 11.1% from the prior-year quarter’s reported figure.In another segment named Optum, top-line growth is expected to have been driven by higher contribution from its sub-segments OptumHealth and Optum Insight. In its OptumHealth subsegment, revenues and earnings are likely to have gained from higher a number of people being catered to in value-based care arrangements and the growing strength of affiliated physicians. The consensus estimate for revenues from Optum indicates an upside of 12.2% from the prior-year quarter’s reported figure.Optum Insight is likely to have witnessed better revenues and earnings owing to growth in services and technology offerings, and improved productivity.New business wins, contract extensions and pipeline growth in comprehensive managed services are expected to have boosted the top line. The Zacks Consensus Estimate for Optum Insight’s revenues hints at an upside of 11.5% from the year-ago quarter’s reported number.Operating cost ratio, which measures the expense incurred in proportion to revenues, is likely to have decreased following the cancellation of the health insurance tax and continued operating efficiency gains. This, in turn, is likely to have been partly offset by business mix, and heavy investment in growth and innovation.UNH’s bottom-line result is expected to reflect the net unfavorable impact of COVID-19 testing and treatment costs. UnitedHealth is likely to have faced an elevated expense level due to rise in medical costs and operating costs.Earnings Surprise HistoryUnitedHealth boasts a stellar earnings surprise history. Its bottom line beat estimates in each of the trailing four quarters, the average being 8.66%.This is depicted in the chart below:UnitedHealth Group Incorporated Price and EPS Surprise UnitedHealth Group Incorporated price-eps-surprise | UnitedHealth Group Incorporated QuoteWhat Our Quantitative Model PredictsThe proven Zacks model does not conclusively predict an earnings beat for UnitedHealth this time around. The combination of a positive  Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.Earnings ESP: UnitedHealth has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.Zacks Rank: UnitedHealth carries a Zacks Rank #3, currently. You can see the complete list of today’s Zacks #1 Rank stocks here.Stocks to ConsiderSome stocks worth considering from the medical space with the perfect mix of elements to surpass estimates in their upcoming quarterly releases are as follows:Teladoc Health, Inc. TDOC has an Earnings ESP of +5.97% and is Zacks #3 Ranked, currently.HCA Healthcare, Inc. HCA is currently a #3 Ranked player and has an Earnings ESP of +1.21%.Tenet Healthcare Corporation THC has an Earnings ESP of +0.96% and a Zacks Rank of 3, currently. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report UnitedHealth Group Incorporated (UNH): Free Stock Analysis Report Tenet Healthcare Corporation (THC): Free Stock Analysis Report HCA Healthcare, Inc. (HCA): Free Stock Analysis Report Teladoc Health, Inc. (TDOC): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

Wells Fargo"s (WFC) Q4 Earnings Beat on Higher Fee Income

Wells Fargo's (WFC) Q4 numbers are driven by strong equity gains and asset-based fees. However, lower interest income due to lower yields on earning assets is the undermining factor. Wells Fargo’s WFC fourth-quarter 2021 earnings per share of $1.38 surpassed the Zacks Consensus Estimate of 1.09. Also, the bottom line improved 86% year over year.Results included the impact of an $875-million decline in allowance for credit losses, backed by an improving economic environment and a $943-million net gain on the sales of Corporate Trust Services business and Wells Fargo Asset Management, offset by a $268-million loss of impairment of certain leased rail cars.Improved investment banking and other asset-based fees, and strong equity gains in WFC’s affiliated venture capital and private equity businesses as well as lower costs, supported the bank. Yet, reduced net interest income (NII) due to low yields from earning assets and lower loans affected the results.In 2021, earnings per share came in at $4.99 compared with 43 cents per share in 2020. The reported figure also surpassed the Zacks Consensus Estimate of $4.68.In the fourth quarter, net income came in at $5.75 billion compared with $3.09 billion recorded in the prior-year quarter. In 2021, net income was $21.5 billion compared with $3.4 billion reported in the prior year.The quarter’s total revenues came in at $20.86 billion, surpassing the Zacks Consensus Estimate of $18.73 billion. Moreover, the top line was higher than the year-ago quarter’s $18.5 billion.Quarterly revenue generation from the business segments improved on a year-over-year basis. The Consumer Banking and Lending as well as Commercial Banking segment’s total quarterly revenues increased 1%, respectively. Further, revenues in the Corporate and Investment Banking as well as the Wealth and Investment Management units rose 11% and 6%, respectively.Revenues for the full year came in at $78.5 billion, surpassing the Zacks Consensus Estimate of $76.1 billion. Revenues also rose 6% year over year.NII Drops on Lower Loans, Costs FallWells Fargo’s NII for the fourth quarter came in at $9.3 billion, down 1% year over year due to low yields on earning assets and lower loan balances, largely offset by a reduced mortgage-backed securities premium amortization, higher interest income from loans purchased from securitization pools and Paycheck Protection Program loans and a decrease in long-term debt. Also, net interest margin (NIM) (on a taxable-equivalent basis) shrank 5 basis points to 2.11%.Non-interest income at Wells Fargo came in at $11.6 billion, up 26.9% year over year. This was steered by robust results in its affiliated venture capital and private equity businesses, and net gains from the sales of divested businesses. Higher card, deposit-related and investment banking fees, debt underwriting and advisory fees were partially offset by lower mortgage banking revenues, impairment of certain leased rail cars and lower trading activity in spread products.Non-interest expense was $13.2 billion for the fourth quarter, down 11% year over year. This decrease was due to lower personnel expense, consultant spend and occupancy expense as well as lower restructuring charges and operating losses.WFC’s efficiency ratio of 63% was below 80% recorded in the year-ago quarter. A fall in efficiency ratio indicates a rise in profitability.As of Dec 31, 2021, average loans were $875 billion, 2.5% up, sequentially. Average deposits came in at $1.47 trillion, up 1.3% from the prior quarter’s figure.Credit Quality StrongWells Fargo’s credit quality metrics were robust during the December quarter. The provision for credit losses was a benefit of $452 million as of Dec 31, 2021 compared with the benefit of $179 million in the prior-year quarter. Non-performing assets decreased to $7.3 billion for the fourth quarter from $8.9 billion reported in the year-earlier period.Net charge-offs were $423 million or 0.19% of average loans for the reported quarter, down 27.6% from $584 million of 0.26% a year ago.Capital Position Decent, Profitability Ratios ImproveWells Fargo maintained a sturdy capital position. Its Tier 1 common equity under Basel III (fully phased-in) increased to $140.6 billion from $138.3 billion witnessed in the prior-year quarter. However, the Tier 1 common equity to total risk-weighted assets ratio was reported at 11.4 % under Basel III (fully phased-in) as of Dec 31, 2021, down from 11.6% in the corresponding period of 2020.Return on assets was 1.17%, up from the prior-year quarter’s 0.64%. Return on equity was 12.8%, comparing favorably with the year-ago quarter’s 6.6%.Capital-Deployment ActivitiesWells Fargo repurchased 139.7 million shares or $7 billion in the fourth quarter of 2021.Our ViewpointWells Fargo is focused on maintaining its financial position despite a number of legal tensions. In addition, WFC is working on its strategic initiatives, which might help regain the confidence of its clients and shareholders. Improving credit quality, lower expenses and strong capital-deployment activities are encouraging.Nevertheless, top-line headwinds along with lower NII and NIM are expected to prevail amid an uncertain economic environment.Wells Fargo & Company Price, Consensus and EPS Surprise Wells Fargo & Company price-consensus-eps-surprise-chart | Wells Fargo & Company QuoteCurrently, Wells Fargo carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Earnings Dates & Expectations of Other BanksBOK Financial BOKF is slated to report fourth-quarter 2021 results on Jan 19.Over the past 30 days, the Zacks Consensus Estimate for BOKF’s quarterly earnings has moved marginally southward. This indicates an 18.1% decline from the prior-year quarter’s actuals.The PNC Financial Services Group, Inc. PNC is scheduled to announce quarterly numbers on Jan 18.Over the past 30 days, PNC’s fourth-quarter earnings estimates have been revised marginally downward over the past month. However, the same is likely to witness a 10.7% rise from the prior-year reported number.Bank of America BAC is scheduled to announce quarterly numbers on Jan 19.Over the past 30 days, the Zacks Consensus Estimate for Bank of America’s quarterly earnings has moved 2.6% south to 76 cents, calling for a 28.8% jump from the prior-year reported number. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Bank of America Corporation (BAC): Free Stock Analysis Report Wells Fargo & Company (WFC): Free Stock Analysis Report The PNC Financial Services Group, Inc (PNC): Free Stock Analysis Report BOK Financial Corporation (BOKF): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

Here is Why Growth Investors Should Buy Oxford Industries (OXM) Now

Oxford Industries (OXM) could produce exceptional returns because of its solid growth attributes. Growth stocks are attractive to many investors, as above-average financial growth helps these stocks easily grab the market's attention and produce exceptional returns. However, it isn't easy to find a great growth stock.In addition to volatility, these stocks carry above-average risk by their very nature. Also, one could end up losing from a stock whose growth story is actually over or nearing its end.However, the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects, makes it pretty easy to find cutting-edge growth stocks.Oxford Industries (OXM) is on the list of such stocks currently recommended by our proprietary system. In addition to a favorable Growth Score, it carries a top Zacks Rank.Research shows that stocks carrying the best growth features consistently beat the market. And returns are even better for stocks that possess the combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy).Here are three of the most important factors that make the stock of this owner of the Tommy Bahama, Lilly Pulitzer and Southern Tide clothing lines a great growth pick right now.Earnings GrowthEarnings growth is arguably the most important factor, as stocks exhibiting exceptionally surging profit levels tend to attract the attention of most investors. And for growth investors, double-digit earnings growth is definitely preferable, and often an indication of strong prospects (and stock price gains) for the company under consideration.While the historical EPS growth rate for Oxford Industries is 0.2%, investors should actually focus on the projected growth. The company's EPS is expected to grow 523.5% this year, crushing the industry average, which calls for EPS growth of 46.5%.Impressive Asset Utilization RatioGrowth investors often overlook asset utilization ratio, also known as sales-to-total-assets (S/TA) ratio, but it is an important feature of a real growth stock. This metric shows how efficiently a firm is utilizing its assets to generate sales.Right now, Oxford Industries has an S/TA ratio of 1.17, which means that the company gets $1.17 in sales for each dollar in assets. Comparing this to the industry average of 1.02, it can be said that the company is more efficient.While the level of efficiency in generating sales matters a lot, so does the sales growth of a company. And Oxford Industries looks attractive from a sales growth perspective as well. The company's sales are expected to grow 51.7% this year versus the industry average of 12.3%.Promising Earnings Estimate RevisionsSuperiority of a stock in terms of the metrics outlined above can be further validated by looking at the trend in earnings estimate revisions. A positive trend is of course favorable here. Empirical research shows that there is a strong correlation between trends in earnings estimate revisions and near-term stock price movements.There have been upward revisions in current-year earnings estimates for Oxford Industries. The Zacks Consensus Estimate for the current year has surged 0.4% over the past month.Bottom LineWhile the overall earnings estimate revisions have made Oxford Industries a Zacks Rank #1 stock, it has earned itself a Growth Score of B based on a number of factors, including the ones discussed above.You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.This combination indicates that Oxford Industries is a potential outperformer and a solid choice for growth investors. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Oxford Industries, Inc. (OXM): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksJan 14th, 2022

Washington Federal (WAFD) Q1 Earnings Beat Estimates, Stock Up

Higher revenues, strong balance sheet and robust loans support Washington Federal's (WAFD) fiscal Q1 results. However, an increase in expenses is a major headwind. Shares of Washington Federal WAFD gained nearly 1% in after-hours in response to the announcement of its first-quarter fiscal 2022 (ended Dec 31) results. Earnings of 71 cents per share surpassed the Zacks Consensus Estimate of 69 cents. The figure reflects a year-over-year jump of 39%.Results primarily benefited from increased revenues, decreased provision for credit losses and a robust loan balance. The company’s balance-sheet position remained strong during the quarter. However, an increase in expenses was the undermining factor.Net income was $50.3 million, surging 29.1% from the prior-year period.Revenues & Expenses RiseNet revenues were $152.8 million, up 13.7% from the year-ago quarter. The top line beat the Zacks Consensus Estimate of $147.8 million.Net interest income was $134.1 million, up 11.3% from the year-earlier period. Net interest margin was 2.87%, rising 12 basis points.Total other income of $18.7 million soared 34.5%. This jump was mainly driven by a drastic improvement in other income and higher deposit fee income.Other expenses amounted to $89.6 million, up 10.1% year over year. Higher compensation and benefits, occupancy and other expenses largely led to this rise.The company’s efficiency ratio was 58.64%, down from 60.58% recorded a year ago. A fall in efficiency ratio indicates improved profitability.At the end of the fiscal first quarter, return on average common equity was 10.12%, up from the 7.65% witnessed at the end of the year-earlier quarter. Return on average assets was 1.02%, up from 0.83%.Loans and Deposit RiseAs of Dec 31, 2021, net loans receivables amounted to $14.6 billion, up 5.5% sequentially. Also, total customer deposits were $15.9 billion, up 2.3% from Sep 30, 2021.Credit Quality ImprovesAs of Dec 31, 2021, the allowance for credit losses (including reserve for unfunded commitments) was 1.18% of gross loans outstanding, down from 1.22% recorded on Sep 30, 2021. The ratio of non-performing assets to total assets was 0.27% compared with 0.22% as on Sep 30, 2021.During the quarter, the company recorded a provision for credit losses of $0.5 million, substantially lower than $3 million in the prior-year quarter.Share Repurchase UpdateDuring the quarter, Washington Federal repurchased 84,114 shares at an average price of $35.34 per share.Our ViewpointSolid loans and deposit balances along with strong credit quality will likely continue to support Washington Federal’s profitability. However, elevated operating expenses remain a major headwind. Washington Federal, Inc. Price, Consensus and EPS Surprise Washington Federal, Inc. price-consensus-eps-surprise-chart | Washington Federal, Inc. QuoteCurrently, Washington Federal carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Earnings Release & Expectations of Other BanksHancock Whitney Corporation HWC is scheduled to release fourth quarter and full-year 2021 results on Jan 18.Over the past 30 days, the Zacks Consensus Estimate for Hancock’s quarterly earnings has moved 1.5% upward to $1.35. This indicates a 40.6% increase from the prior-year quarter.Associated Banc-Corp ASB is scheduled to release fourth quarter and full-year 2021 results on Jan 20.Over the past 30 days, the Zacks Consensus Estimate for Associated Banc-Corp’s quarterly earnings has remained unchanged at 43 cents. This implies a 7.5% increase from the prior-year quarter.Bank OZK OZK is scheduled to release fourth quarter and full-year 2021 results on Jan 20.Over the past 30 days, the Zacks Consensus Estimate for Bank OZK’s quarterly earnings has remained unchanged at 98 cents. Also, this suggests a 5.4% increase from the prior-year quarter. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Washington Federal, Inc. (WAFD): Free Stock Analysis Report Associated BancCorp (ASB): Free Stock Analysis Report Hancock Whitney Corporation (HWC): Free Stock Analysis Report Bank OZK (OZK): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

Why Essa Bancorp (ESSA) is a Top Dividend Stock for Your Portfolio

Dividends are one of the best benefits to being a shareholder, but finding a great dividend stock is no easy task. Does Essa Bancorp (ESSA) have what it takes? Let's find out. Getting big returns from financial portfolios, whether through stocks, bonds, ETFs, other securities, or a combination of all, is an investor's dream. But for income investors, generating consistent cash flow from each of your liquid investments is your primary focus.While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is that coveted distribution of a company's earnings paid out to shareholders, and investors often view it by its dividend yield, a metric that measures the dividend as a percent of the current stock price. Many academic studies show that dividends account for significant portions of long-term returns, with dividend contributions exceeding one-third of total returns in many cases.Essa Bancorp in FocusEssa Bancorp (ESSA) is headquartered in Stroudsburg, and is in the Finance sector. The stock has seen a price change of -0.06% since the start of the year. The bank is paying out a dividend of $0.12 per share at the moment, with a dividend yield of 2.77% compared to the Financial - Savings and Loan industry's yield of 2.43% and the S&P 500's yield of 1.3%.In terms of dividend growth, the company's current annualized dividend of $0.48 is up 2.1% from last year. Essa Bancorp has increased its dividend 3 times on a year-over-year basis over the last 5 years for an average annual increase of 7.68%. Future dividend growth will depend on earnings growth as well as payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. Right now, Essa Bancorp's payout ratio is 29%, which means it paid out 29% of its trailing 12-month EPS as dividend.Earnings growth looks solid for ESSA for this fiscal year. The Zacks Consensus Estimate for 2022 is $1.73 per share, with earnings expected to increase 4.85% from the year ago period.Bottom LineInvestors like dividends for a variety of different reasons, from tax advantages and decreasing overall portfolio risk to considerably improving stock investing profits. However, not all companies offer a quarterly payout.For instance, it's a rare occurrence when a tech start-up or big growth business offers their shareholders a dividend. It's more common to see larger companies with more established profits give out dividends. During periods of rising interest rates, income investors must be mindful that high-yielding stocks tend to struggle. With that in mind, ESSA is a compelling investment opportunity. Not only is it a strong dividend play, but the stock currently sits at a Zacks Rank of 3 (Hold). Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report ESSA Bancorp, Inc. (ESSA): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

Citigroup (C) Q4 Earnings Beat Estimates, Expenses Escalate

Citigroup's (C) Q4 numbers are driven by strong results in the investment banking and equity markets. However, rising expenses and lower revenues in GCB are the undermining factors. Citigroup C has delivered an earnings surprise of 5.04% in fourth-quarter 2021. Income from continuing operations per share of $1.46 handily outpaced the Zacks Consensus Estimate of $1.39. However, the reported figure declined 24% from the prior-year quarter.Citigroup’s investment banking revenues have jumped, driven by equity underwriting as well as growth in advisory revenues. However, fixed-income revenues were down due to decliningrates and spread products.Net income was $3.17 billion compared with $4.31 billion recorded in the prior-year quarter.For 2021, net income was $21.95 billion or $10.14 per share, up from the prior year’s $11.05 billion or $4.72 per share. Yearly net income per share also outpaced the Zacks Consensus Estimate of $10.07.Revenues Rise, Expenses Flare UpRevenues increased 1% year over year to $17.02 billion in the December-ended quarter. The top line, however, lagged the Zacks Consensus Estimate of $17.06 billion. Higher revenues from the Institutional Clients Group (ICG) segment and the corporate/other segment were offset by lower Global Consumer Banking (GCB) revenues.For 2021, total revenues were $71.9 billion, down 4.8% year over year. Nonetheless, the top line outpaced the Zacks Consensus Estimate of $71.01 billion.In the ICG segment, revenues were $9.87 billion in the fourth quarter, up 4% year over year. Higher total banking and securities services revenues were partly offset by lower fixed-income revenues.GCB revenues declined 6% year over year to $6.94 billion. Lower revenues across all three regions — North America, Latin America and Asia — resulted in the decline.Corporate/Other revenues were $208 million, improving from a loss of $80 million witnessed in the prior-year quarter.Citigroup’s operating expenses rose 18% year over year to $13.5 billion. Continued investments in the franchise transformation, as well as higher compensation and benefits, resulted in the upsurge. These were partly negated by efficiency savings.Balance Sheet DeterioratesAt the end of the fourth quarter, Citigroup’s end-of-period assets totaled $2.29 trillion, down 3% sequentially. Deposits were down 2.3% from the prior quarter’s numbers to $1.32 trillion. The company’s loans rose slightly to $668 billion.Credit Quality HonedCitigroup’s costs of credit for the December-ended quarter were a negative $0.5 billion compared with a negative $46 million recorded in the year-earlier quarter. This primarily reflected an improvement in net credit losses.Total non-accrual assets declined 40% year over year to $3.4 billion. The company reported a fall of 30% in consumer non-accrual loans to $1.5 billion. Also, corporate non-accrual loans of $1.9 billion plunged 47%.Citigroup’s total allowance for credit losses on loans was $16.5 billion at the end of the reported quarter or 2.49% of total loans, compared with $25 billion or 3.73%, recorded in the year-ago period.Capital Position DecentAt the end of the fourth quarter, Citigroup’s Common Equity Tier 1 capital ratio was 12.2%, up from 11.7% in fourth-quarter 2020. As of Dec 31, 2021, book value per share was $92.21, up 7% year over year and tangible book value per share was $79.16, up 7%.The company’s supplementary leverage ratio in the reported quarter was at 5.7%, down from 7%.Capital DeploymentIn the reported quarter, Citigroup returned $1 billion to shareholders in the form of common share dividends.Our ViewpointThe company delivered decent results this time around. Solid equity market revenues and the investment banking business aided the bank despite being unfavorably impacted by lower fixed income revenues. The company displays capital strength.One can consider a strong brand like Citigroup to be a sound investment option for the long term, given its global footprint and strategic refresh efforts. Nevertheless, rising operating expenses are concerning for the company.Citigroup Inc. Price, Consensus and EPS Surprise  Citigroup Inc. price-consensus-eps-surprise-chart | Citigroup Inc. Quote At present, Citigroup carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Earnings Release Date of Other BanksWe now look forward to the earnings release of U.S. Bancorp USB, Citizens Financial CFG and Comerica Inc. CMA. USB, CFG and CMA are slated to report their quarterly results on Jan 19. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Citigroup Inc. (C): Free Stock Analysis Report Comerica Incorporated (CMA): Free Stock Analysis Report U.S. Bancorp (USB): Free Stock Analysis Report Citizens Financial Group, Inc. (CFG): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

First Republic (FRC) Q4 Earnings & Revenues Beat, Costs Rise

First Republic's (FRC) Q4 earnings surpass estimates on higher net interest and non-interest income, partially offset by higher costs. First Republic Bank’s FRC fourth-quarter 2021 earnings per share of $2.02 have surpassed the Zacks Consensus Estimate of $1.91. Additionally, the bottom line improved 26.3% from the year-ago quarter.Results were supported by an increase in net interest income (NII) and non-interest income. Moreover, the company’s balance-sheet position was strong in the quarter. However, higher expenses and elevated net loan charge-offs were the offsetting factors.Net income available to common shareholders jumped 31.9% year over year to $368 million.For 2021, net income was $1.38 billion or $7.68 per share, up from the prior year’s $1 billion or $5.81 per share. Yearly earnings per share also outpaced the Zacks Consensus Estimate of $5.56.Revenues Increase, Expenses Flare UpTotal revenues were $1.37 billion in the December-end quarter, up 26.9% year over year. The figure also surpassed the Zacks Consensus Estimate of $1.34 billion.For 2021, total revenues were $5.03 billion, up 28.5% year over year. The top line also outpaced the Zacks Consensus Estimate of $5.01 billion.The NII jumped 25.4% year over year to $1.1 billion, primarily supported by growth in average interest-earning assets, offset by a lower net interest margin. Net interest margin declined to 2.68% from the prior-year quarter’s 2.73% significantly higher average cash balances.Non-interest income was $247 million, up 31.6% year over year. The rise mainly resulted from higher wealth management fees andincome from investments in life insurance.Non-interest expenses for the reported quarter flared up 29.9% year over year to $866 million. Continued investments in the franchise expansion, including additional hiring, to support growth and information system initiatives resulted in the uptick.The fourth-quarter efficiency ratio of 63.3%, was up from 61.6%, in the prior-year quarter. A higher ratio indicates a decline in profitability.Healthy Balance SheetAs of Dec 31, 2021, net loans climbed 5.1% sequentially to $134.3 billion, while total deposits were up 7.6% to $156.3 billion. Loan originations were $16.9 billion for the quarter, up 9.3% quarter over quarter.First Republic’s total wealth management assets were $279.4 billion as of Dec 31, 2021, marking an 11% sequential rise. The increase was primarily aided by market appreciation and net client inflow.Notably, wealth management assets included investment management assets, brokerage assets, money market mutual funds, and trust and custody assets.Improving Credit QualityIn the October-December period, credit metrics were decent. On a year-over-year basis, total non-performing assets decreased 24.5% to $139 million. Also, the non-performing assets to total assets ratio was 0.08%, down from the year-ago quarter’s 0.13%. Provision for credit losses of $24 million was recorded, down from $35 million in fourth-quarter 2020.However, net loan charge-offs were $0.1 million against net recoveries of $0.6 million in fourth-quarter 2020.Capital Position DecentAs of Dec 31, 2021, the company’s Tier 1 leverage ratio was 8.76%compared with 8.14% as of Dec 31, 2020. Tangible book value per share increased 17.1% year over year to $67.10.Tier 1 capital to risk-weighted assets was 9.65%, down from 9.67% in fourth-quarter 2020.Our ViewpointFirst Republic's balance sheet position has been solid and growth prospects look promising, driven by consistent growth in loans.We believe that a strong capital position will help it pursue organic moves as well as strategic acquisitions in the near future.However, rising costs on investments in franchise expansion might hurt its bottom line in the near term. Moreover, low net interest margin on higher average cash balances is concerning as it might impede interest income growth to some extent.First Republic Bank Price, Consensus and EPS Surprise  First Republic Bank price-consensus-eps-surprise-chart | First Republic Bank Quote First Republic currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.We now look forward to the earnings releases of U.S. Bancorp USB, Citizens Financial CFG and Comerica Inc. CMA. USB, CFG and CMA are slated to report quarterly results on Jan 19. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Comerica Incorporated (CMA): Free Stock Analysis Report U.S. Bancorp (USB): Free Stock Analysis Report First Republic Bank (FRC): Free Stock Analysis Report Citizens Financial Group, Inc. (CFG): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksJan 14th, 2022

Price To Earnings Ratio Insights For Procter & Gamble

  In the current session, Procter & Gamble Inc. (NYSE:PG) is trading at $159.97, after a 1.06% gain. Over the past month, the stock increased by 1.60%, and in the past year, by 19.74%. With performance like this, long-term shareholders are optimistic but others are more likely to look into the price-to-earnings ratio to see if the stock might be overvalued. Assuming that all other factors are held constant, this could present itself as an opportunity for shareholders trying to capitalize on the higher share ...Full story available on Benzinga.com.....»»

Category: earningsSource: benzingaJan 14th, 2022