CHICAGO, Sep 21, 2009 (BUSINESS WIRE) -- 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 http://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: AeroCentury Corp. (AMEX: ACY), Global Sources Ltd. (Nasdaq: GSOL), GlaxoSmithKline Plc. (NYSE: GSK), American States Water Co. (NYSE: AWR) and Epicor Software Corp. (Nasdaq: EPIC).
Here are details about 5 featured Value stock picks . . .
AeroCentury's (AMEX: ACY) second-quarter earnings came in at 89 cents per share, easily surpassing the Zacks Consensus Estimate by 20 cents. The Zacks #1 Rank (Strong Buy) company recorded growth of nearly 12% in operating lease revenues, totaling $6.4 million. The Zacks Consensus Estimate on the company's full-year earnings is currently pegged at $3.08 per share, which has moved up from $2.75 over the past 30 days.
Global Sources Ltd. (Nasdaq: GSOL) posted second-quarter earnings of 11 cents per share, topping the Zacks Consensus Estimate by 83%. The Zacks #2 Rank (Buy) company has either topped or met the Zacks Consensus Estimate in each of the last 4 quarters with an average upside surprise of 70%. The full-year Zacks Consensus Estimate jumped 8 cents to 27 cents per share over the past 2 months.
GlaxoSmithKline Plc. (NYSE: GSK) reported second-quarter profit of $1.02 per share, beating the Zacks Consensus Estimate by 16 cents. Analysts polled by Zacks boosted expectations on the company's full-year earnings by 21 cents to $3.84 per share. The Zacks #2 Rank (Buy) company is attractively valued as evidenced by its forward P/E of 10.
American States Water Co. (NYSE: AWR) announced second-quarter earnings of 64 cents per share on Aug 6, easily topping the Zacks Consensus Estimate by 19 cents. The Zacks #1 Rank (Strong Buy) company said total operating revenue grew by 16.5% to $93.6 million. The Zacks Consensus Estimate on the company's full-year earnings climbed 8 cents to $1.80 per share over the past month.
Epicor Software Corp. (Nasdaq: EPIC) posted second-quarter earnings of 9 cents per share, beating the Zacks Consensus Estimate by 2 cents. Analysts polled by Zacks are calling for year-over-year earnings growth of 25% for 2010. The stock's attractive valuations include a P/S multiple of 0.85 and a forward P/E ratio of 12.
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: http://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 . . .
http://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 http://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.
SOURCE: Zacks.com
Zacks.com Alex Kolb Phone: 312-265-9149 Email: pr@zacks.com
Copyright Business Wire 2009