The Zacks Analyst Blog features Chipotle Mexican Grill, Dillard’s, American Airlines Group, Canadian National Railway and MakeMyTrip

For Immediate Release

Chicago, IL – November 23, 2022 – Zacks.com announces the list of stocks featured in the analyst blog. Every day, Zacks Equity Research analysts discuss the latest news and events affecting stocks and the financial markets. Stocks recently featured on the blog include: Chipotle Mexican Grill CMG, Dillard’s DDS, American Airlines Group AAL, Canadian National Railway CNI, and MakeMyTrip Ltd. MMYT.

Here are the highlights from Tuesday’s analyst blog:

5 stocks promising plenty of gains this Thanksgiving week

As Thanksgiving week approaches, investors are bullish on US stocks given the strong market performance in the past. This is especially true as the holiday-shortened week is usually a bullish feast for stock investors, even on low volumes, as consumer spending is expected to pick up.

Consumer spending is expected to hit $125 billion this Thanksgiving weekend, up 10% year over year, despite higher inflation and higher interest rates. This would boost the economy and stocks.

To take advantage of the trend, investors could make solid gains by investing in stocks in the industries that are likely to benefit the most this week. Some of them are Chipotle Mexican Grill, Dillard’s, American Airlines Group, Canadian National Railway and MakeMyTrip Ltd.

These stocks have a Zacks Rank of #1 (Strong Buy), 2 (Buy), or 3 (Hold) and a Growth Rating of B or better. You’ve also seen a positive revision to earnings estimates for the holiday quarter in the last 30 or 60 days. You can see the full list of today’s Zacks #1 Rank stocks can be found here.

Solid historical trends

While elevated inflation, aggressive Fed rate hikes and recession fears have weighed on the stock market, higher consumer spending should boost equities this week. Thanksgiving week has brought modest gains for stocks dating back to 1945, according to the Bespoke Investment Group.

Researchers say the S&P 500 has risen an average of 60 basis points throughout Thanksgiving week since then, with the best returns coming on the Wednesday before the holiday and Black Friday and the only average drop on Monday at the start of the week.

The S&P 500 index has gained an average of 0.54% on the week over the past 50 years, with 68% of returns positive, according to researchers.

bright spots

According to the National Retail Federation, 166.3 million people plan to shop from Thanksgiving to Cyber ​​Monday this year. This represents 8 million more people than the previous year and is the highest estimate since NRF began collecting this data in 2017.

Americans will spend $125 billion, up 10% from last year. About 89% of consumers expect to shop between Thanksgiving Day and the end of Cyber ​​Monday, despite concerns about inflation and rising interest rates.

Black Friday remains the most popular shopping day, with 69% planning to treat themselves, followed by 38% on Cyber ​​Monday. Of the 114.9 million Black Friday shoppers, 67% say they expect to hit the shops, up from 64% in 2021.

Searching online (43%) remains the most popular source of inspiration for gifts, followed by friends and family (35%) and in a retail store (31%). The top five gift categories consumers plan to give are clothing (55%), followed by gift cards at 45%, toys at 37%, books/music/movies/video games at 33%, and food/sweets at 31%.

Travel service provider American Automobile Association (AAA) expects 2022 to be the third busiest Thanksgiving travel season in the United States in the past two decades.

About 54.6 million people will travel 50 miles or more from home this Thanksgiving. This is up 1.5% year over year and represents 98% of pre-pandemic volume. Of these, 49 million (up 0.4% yoy) will take car trips, 4.5 million (up 8%) will fly and the remaining 1.4 million (up 23%) will travel by train, bus or cruise.

However, Americans are bracing for a costly Thanksgiving this year, with double-digit percentage increases in the price of turkey, potatoes, stuffing, canned pumpkin and other staples. The average cost of entertaining 10 people this Thanksgiving is expected to be $64.05 (or less than $6.50 per person), up 20% from last year’s average of $53.31, the company said American Farm Bureau Federation annual survey of Thanksgiving dinner expenses. Higher prices should benefit restaurants.

Stocks to shower profits

Chipotle Mexicanoperates quick casual and fresh Mexican restaurant chains along with its subsidiaries. Chipotle restaurants offer hormone-free, free-range pork, natural chicken and other meat products, prepared using traditional methods and served in a unique atmosphere. The company has a market cap of $41.6 billion.

Chipotle Mexican posted a solid 38 cent revision of earnings estimates last month for the holiday quarter. The stock carries a Zacks rank of #2 and a growth rating of A.

Dillard’s is a large department store chain with fashion clothing and home furnishings. It also sells its wares over the Internet at www.dillards.com. Businesses are primarily located in the Southwest, Southeast, and Midwest of the United States.

Dillard’s has seen a solid revision of its earnings estimate of $2.37 for the current quarter in a month. With a market cap of $6.2 billion, DDS has a Zacks rank of #1 and a growth value of B.

American Airlinesoperates through its subsidiaries as a network airline. The Company provides scheduled air transportation services for passengers and cargo through its hubs in Charlotte, Chicago, Dallas/Fort Worth, Los Angeles, Miami, New York, Philadelphia, Phoenix and Washington, DC and through partner gateways in London, Madrid, Seattle/Tacoma , Sydney and Tokyo. AAL has a market cap of $9.1 billion.

American Airlines posted a solid 41 cent revision of earnings estimate over the last 30 days for the holiday quarter. It has a Zacks Rank of #3 and a Growth Value of B.

Canadian citizen is engaged in railroad and related transportation business. It is the largest rail network in Canada and the only transcontinental network in North America. Canadian National posted a positive three cent revision to earnings estimates last month for the holiday quarter.

Canadian National has a market cap of $84.2 billion. It has a Zacks Rank of #3 and a Growth Value of B.

MakeMyTrip is an online travel services company providing travel products and solutions in India and the United States. The company’s services and products include airline tickets, tailor-made holiday packages, hotel bookings, train tickets, bus tickets, car rentals and facilitating access to travel insurance. MakeMyTrip has seen a solid revision of its earnings estimate for the current quarter over the past 30 days by 5 cents.

With a market cap of $3 billion, MMYT has a Zacks rank of #2 and a growth value of A.

Why haven’t you checked out Zacks’ top stocks?

Our 5 top-performing strategies blew away the S&P’s impressive +28.8% surge in 2021. Amazingly, they have skyrocketed +40.3%, +48.2%, +67.6%, +94.4%, and +95.3%. Today you can access their live picks for free and without obligation.

See shares free >>

media contact

Zacks Investment Research

800-767-3771 ext. 9339

[email protected]

https://www.zacks.com

Past performance is no guarantee of future results. The potential for loss is inherent in every investment. This material is provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice or a recommendation to buy, sell or hold any security. No recommendation or advice is given as to whether an investment is suitable for a is suitable for certain investors. It should not be assumed that investments in any security, company, sector or market identified and described have been or will be profitable. All information is current at the time of publication and is subject to change without notice. Any views or opinions expressed may not reflect those of the company as a whole. Zacks Investment Research does not engage in investment banking, market making or investment management activities for securities. These returns are from hypothetical portfolios composed of Zacks rank = 1 stocks rebalanced monthly excluding transaction costs. These are not actual stock portfolio returns. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information on the performance figures presented in this press release.

Want the latest recommendations from Zacks Investment Research? Today you can download the 7 best stocks for the next 30 days. Click here to get this free report

Dillard’s, Inc. (DDS): Free Stock Research Report

Canadian National Railway Company (CNI): Free Stock Research Report

Chipotle Mexican Grill, Inc. (CMG): Free Stock Research Report

American Airlines Group Inc. (AAL): Free Stock Research Report

MakeMyTrip Limited (MMYT): Free Stock Research Report

To read this article on Zacks.com, click here.

Zacks Investment Research

Source

Leave a Reply

Your email address will not be published. Required fields are marked *