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Zacks Releases New Stock Picks from the +21.7% Value Strategy: Del Monte Foods, Cantel Medical Corp., Mariner Energy, AeroCentury Corp. and 3Com Corp.


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© Business Wire 2009
2009-06-29 22:16:05 -

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 2008, while the S&P 500 dropped by -37%. 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 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: Del Monte Foods Co. (NYSE: DLM), Cantel Medical Corp. (NYSE: CMN), Mariner Energy Inc. (NYSE: ME), AeroCentury Corp. (AMEX: ACY) and 3Com Corp. (NASDAQ: COMS).



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



Del Monte Foods Co. (NYSE: DLM), which recently boosted its quarterly dividend from 4 cents per share to 5 cents, reported fiscal fourth-quarter earnings of 35 cents per share in early June. The result topped the consensus estimate by 9 cents. Revenue jumped 21% to $1.06 billion. Analysts raised their earnings estimates by 3 cents over the past month to 79 cents per share for the fiscal year ending April 2010.
The Zacks #2 Rank (“Buy”) stock trades at a discount to peers with a forward P/E ratio of 12X and P/S multiple of 0.39X.



Cantel Medical’s (NYSE: CMN) fiscal third-quarter profit of 25 cents per share came in ahead of the consensus forecast by 4 cents. The Zacks #1 Rank (“Strong Buy”) company has topped analysts’ expectations in each of the of the last 4 quarters with an average upside surprise of 39.31%. The average forecast has increased 8 cents over the past month to 93 cents per share for the fiscal year ending July 2009.


Mariner Energy’s (NYSE: ME) first-quarter earnings came in at 22 cents per share, topping the consensus estimate by 21 cents. The average forecast on the Zacks #2 Rank (“Buy”) company’s full-year earnings has moved up by 22 cents over the past month to 66 cents per share.


AeroCentury Corp. (AMEX: ACY) posted a first-quarter profit of 80 cents per share, which came in ahead of the consensus estimate by 43 cents. Operating lease revenue grew 10% year-over-year to $6.5 million.
The consensus forecast for the Zacks #1 Rank (“Strong Buy”) company’s full-year earnings stands at $2.75 per share, which increased by 87 cents over the past month. The stock is attractively valued as evidenced by its forward P/E ratio of 3.32X and P/S multiple of 0.44X.


3Com Corp. (NASDAQ: COMS) announced fiscal third-quarter earnings of 13 cents per share in mid-March. The result surpassed the consensus forecast by 5 cents. The Zacks #2 Rank (“Buy”) company topped the consensus estimate in each of the last 4 quarters with an average upside surprise of 51.34%. Fourth-quarter results are scheduled for release on July 9.


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: 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 . . .

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 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.



Zacks.comAlex KolbPhone: 312-265-9149Email: pr@zacks.com : mailto:pr@zacks.com


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