For Immediate Release
Chicago, IL – November 25, 2022 – Stocks featured in this week’s article are Country Healthcare CCRN, CVR Energy CVI, Delek US Holdings DK, Boise Cascade BCC and Builders FirstSource BLDR.
5 Brokers’ Favorite Stocks to Ride Through the Market Storm
Although better-than-expected inflation data for October eased the US stock markets, the situation is far from over the mountain. In fact, most market observers believe that more rate hikes remain in the pipeline. The Fed promised to continue its rate-hiking strategy to contain high inflationary pressures, which remain at 4-year highs.
Higher interest rates drive up borrowing costs and increase the likelihood of an economic slowdown. The uncertain scenario is exacerbated by reports of new COVID deaths in China. This fueled fears of a reintroduction of market restrictions, which in turn hampered economic activity.
The resulting market volatility implies that it is very difficult for individual investors to design a successful stock portfolio. Choosing inappropriate stocks can be detrimental to his/her returns, defeating the very purpose of investing valuable funds in the highly unpredictable stock market. So what’s next? One way is to trust the advice of brokers and have stocks preferred by brokers country healthcare, CVR Energy, Delek US Holdings, Boise Cascade and Builders FirstSource on the radar.
Why is brokerage advice important?
Because brokers conduct extensive research on the stocks they cover, they have access to very detailed information about a company. To this end, they attend company conference calls/presentations and review every publicly available document before engaging investors.
As brokers follow stocks meticulously in their reporting, they revise their earnings estimates after carefully considering the ins and outs of an event for the company in question. Your estimate revisions, of course, serve as a determinant of the stock price.
Due to this comprehensive know-how, brokers are considered experts in the field of financial investments, equipped with in-depth knowledge and a clear insight into the intricacies of the investment world. Hence, heeding such well-researched information is advisable for investors to avoid the unfortunate scenario of losing their hard-earned money parked in the stock markets down the drain.
Use broker knowledge
The above description clearly indicates that by following broker actions one can arrive at a promising basket of stocks. With that in mind, we’ve developed a screen to shortlist stocks based on improving analyst recommendations and upwardly revised earnings estimates over the past four weeks.
Because the price to sales ratio is a powerful supplemental valuation metric in the presence of analyst information, it is considered when constructing a successful stock portfolio. The price to revenue ratio takes care of a company’s revenue, making the strategy extremely effective.
Here are five of the 10 stocks that made it through the screen:
Cross Country Health is a leading national provider of innovative staffing solutions and staffing services in the healthcare sector. CCRN’s diverse customer base includes both clinical and non-clinical facilities serving acute care hospitals, physician offices, ambulatory and ambulatory care centers, nursing facilities, public and charter schools, rehabilitation and sports medicine clinics, government facilities and home care.
Cross Country Healthcare’s expected earnings growth rate for the current year is 65.7%. The Zacks consensus estimate for the year to date is up 5.9% over the past 60 days. CCRN currently carries a Zacks Rank #2 (Buy).
You can see the full list of today’s Zacks #1 Rank (Strong Buy) stocks can be found here.
CVR Energy is an independent refiner and marketer of high-quality transport fuels. CVI is also a manufacturer of ammonia and urea-ammonia-nitrate fertilizers. CVI’s petroleum business includes a fully coked sour crude oil refinery in Coffeyville, KS. Its efforts to reward its shareholders underscore its strong financial position. The robust nitrogen fertilizer unit supports growth.
CVR Energy, which currently holds a Zacks rank of #3 (hold), has an expected earnings growth rate of more than 100% for the year to date. The Zacks consensus estimate for the year to date is up 3.2% over the past 60 days.
Brentwood, TN based Delek US Holdings is an independent refiner, transporter and marketer of petroleum products. DK’s extensive downstream activities within the Permian Basin give it a fairly significant competitive advantage over its peers in the long run.
Delek US Holdings currently carries a Zacks rank #3. The Zacks consensus estimate for earnings for the current quarter has improved by 23.1% over the last 60 days.
Boise Cascade manufactures wood products and sells building materials. BCC currently has a Zacks Rank of 3 and operates primarily in the United States and Canada.
Last month, management increased BCC’s quarterly dividend payout by 25% to 15 cents a share. This reflects BCC’s financial strength. Dividend stocks are in great demand, especially in the current uncertain times. The Zacks consensus estimate for earnings for the current quarter has improved by 19.4% over the past 60 days.
Builders First Source: Based in Dallas, TX, BLDR manufactures and supplies building materials. Builders FirstSource benefited from its focus on cost synergies, strategic acquisitions and robust demand for solid housing and repair and remodeling activity.
Builders FirstSource is currently ranked #3 in Zacks rankings. The Zacks consensus estimate for earnings for the current quarter has improved by 34.24% over the last 60 days.
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For the remainder of this Screen of the Week article, please visit Zacks.com at: https://www.zacks.com/stock/news/2021263/5-broker-favorite-stocks-to-tide-over-the-market-tempest
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 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 mentioned in this material.
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Builders FirstSource, Inc. (BLDR): Free Stock Research Report
CVR Energy Inc. (CVI): Free Stock Research Report
Delek US Holdings, Inc. (DK): Free Stock Research Report
Cross Country Healthcare, Inc. (CCRN): Free Stock Research Report
Boise Cascade, LLC (BCC): Free Stock Research Report
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