CHICAGO, June 21, 2011 /PRNewswire/ -- Zacks.com releases
details on a group of stocks that are currently members of the
exclusive Zacks #5 Rank List – Stocks to Sell Now. These stocks are
currently rated as a Zacks Rank #5 (Strong Sell): Companhia de
Saneamento Basico (ADR) (NYSE: SBS) and FXCM Inc
(Nasdaq: FXCM). Further, Zacks announced #4 Rankings (Sell) on two
other widely held stocks: Foster Wheeler AG (Nasdaq: FWLT)
and Vulcan Materials Company (NYSE: VMC). To see the full
Zacks #5 Rank List - Stocks to Sell Now visit:
http://at.zacks.com/?id=92
(Logo:
http://photos.prnewswire.com/prnh/20101027/ZIRLOGO)
Since inception in 1988, the S&P 500 has outperformed the
Zacks #5 Rank List of Stocks to Sell Now by 80% annually (+2% vs.
+10%). While the rest of Wall Street continued to tout stocks
during the market declines of the last few years, Zacks told
investors which stocks to sell or avoid.
Here is a synopsis of why SBS and FXCM have a Zacks Rank of #5
(Strong Sell) and should most likely be sold or avoided for the
next one to three months. Note that a #5 Strong Sell rating is
applied to 5% of all the stocks in the Zacks Rank universe:
Companhia de Saneamento Basico (ADR) (NYSE: SBS) reported
first-quarter earnings of 96 cents
per share on May 13, which came in
2 cents behind analysts'
expectations. This apart earnings missed the previous year's
results by 46 cents. The Zacks
Consensus Estimate for the current year decreased 35 cents to a profit of $4.55 over the past week. During that period,
next year's forecast fell $1.03 to
$7.19 per share in a span of 60
days.
FXCM Inc (Nasdaq: FXCM) announced its first-quarter
earnings per share of 16 cents on
May 16, missing the Zacks Consensus
Estimate by 20%. The Zacks Consensus Estimate for 2011 slipped
15 cents to a profit of 82 cents per share in the last 60 days, which
reflected reductions by the covering analysts. Next year's
estimate fell 18 cents to
$1.21 per share in the same
period.
Here is a synopsis of why FWLT and VMC have a Zacks Rank of 4
(Sell) and should also most likely be sold or avoided for the next
one to three months. Note that a #4 Sell rating is applied to 15%
of all the stocks ranked by Zacks;
Foster Wheeler AG (Nasdaq: FWLT) saw a 66% year-over-year
decline in first-quarter earnings. On May
3, Foster Wheeler reported
quarterly earnings of 19 cents per
share, which lagged the Zacks Consensus Estimate by nearly 51%. The
full-year average forecast dipped 3
cents to a profit of $1.52 per
share in the past month.
Vulcan Materials Company's (NYSE: VMC) first-quarter loss
of 62 cents per share, reported last
month, missed analysts' projections by nearly 27%. The Zacks
Consensus Estimate for 2011 widened by 5cents to a loss of 76
cents per share in the last 30 days as 3 analysts out of 13
revised downward. The average forecast for the following year
declined 3 cents to a loss of
19 cents per share in span of 7
days.
Truly taking advantage of the Zacks Rank requires the
understanding of how it works. The free special report;
"Zacks Rank Guide: Harnessing the Power of Earnings Estimate
Revisions" is available to provide this insightful background.
Download a free copy now to prosper in the years to come at
http://at.zacks.com/?id=93
About the Zacks Rank
Since 1988, the Zacks Rank has proven that "Earnings estimate
revisions are the most powerful force impacting stock prices."
Since inception in 1988, #1 Rank Stocks have generated an average
annual return of +28%. During the 2000-2002 bear market, Zacks #1
Rank stocks gained +43.8%, while the S&P 500 tumbled -37.6%.
Also note that the Zacks Rank system has just as many Strong Sell
recommendations (Rank #5) as Strong Buy recommendations (Rank #1).
Since 1988, Zacks Rank #5 stocks have significantly underperformed
the S&P 500 (2.8% versus +9.7%). Thus, the Zacks Rank system
allows investors to truly manage portfolio trading effectively.
Visit http://www.zacks.com/performance for information about the
performance numbers displayed in this press release.
Zacks "Profit from the Pros" e-mail newsletter offers continuous
coverage of Zacks Rank Buy stocks and highlights those stocks
poised to outperform the market. Subscribe to this free newsletter
today by visiting http://at.zacks.com/?id=94
About Zacks
Zacks.com is a property of Zacks Investment Research, Inc.,
which was formed in 1978 by Len
Zacks. As a PhD from MIT Len knew he could find patterns in
stock market data that would lead to superior investment results.
Amongst his many accomplishments was the formation of his
proprietary stock picking system; the Zacks Rank, which continues
to outperform the market by nearly a 3 to 1 margin. The best way to
unlock the profitable stock recommendations and market insights of
Zacks Investment Research is through our free daily email
newsletter; Profit from the Pros. In short, it's your steady
flow of Profitable ideas GUARANTEED to be worth your time! Register
for your free subscription to Profit from the Pros at
http://at.zacks.com/?id=95
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook:
http://www.facebook.com/ZacksInvestmentResearch
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.
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.
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
support@zacks.com
http://www.zacks.com
SOURCE Zacks Investment Research, Inc.