For Immediate Release
Chicago, IL – April 16, 2020 – Stocks in this week’s article are Regency Centers Corp. REG, ResMed Inc. RMD, Synopsys, Inc. SNPS, Cboe Global Markets, Inc. CBOE and The Southern Company SO.
Sales Growth Makes These Stocks Good Bets Amid Coronavirus
In challenging times like these, it’s not an easy task to find stocks that are expected to witness earnings growth in the near term. Therefore, one way to pick stocks is based on steady sales growth.
Sales growth is an important metric for any company, as it constitutes vital part of growth projections and is instrumental in strategic decision making. By monitoring this key metric over multiple time periods, one can clearly understand a company’s growth trend.
When companies incur losses, although temporarily, they are valued based on their revenues. Top-line growth (or decline) is usually an indicator of a company’s future earnings performance. While price to earnings and price to book value ratios can turn negative and cease to be relevant, the price-to-sales ratio is available even for firms that have hit choppy waters.
A company can improve earnings by resorting to cost-control measures, while maintaining stable revenues. However, superior profits can be achieved through steady revenue growth.
Huge sales numbers do not necessarily convert into profits. Hence, considering a company’s cash position, in addition to sales numbers, can prove to be more prudent. Substantial cash in hand and a steady cash flow lend a company more flexibility with respect to business decisions and investments.
For the rest of this Screen of the Week article please visit Zacks.com at:https://www.zacks.com/stock/news/872300/sales-growth-makes-these-5-stocks-good-bets-amid-coronavirus-woes
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
About Screen of the Week
Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine. But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has more than doubled the market from 1988 through 2016. Its average gain has been a stellar +25% per year. See these high-potential stocks free >>.
Follow us on Twitter: https://twitter.com/zacksresearch
Join us on Facebook: https://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.
Contact: Jim Giaquinto
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.
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
Southern Company (The) (SO) : Free Stock Analysis Report
Cboe Global Markets, Inc. (CBOE) : Free Stock Analysis Report
ResMed Inc. (RMD) : Free Stock Analysis Report
Regency Centers Corporation (REG) : Free Stock Analysis Report
Synopsys, Inc. (SNPS) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research