CHICAGO, Jan. 6, 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): State Auto
Financial (Nasdaq: STFC) and TFS Financial Corporation
(Nasdaq: TFSL). Further, Zacks announced #4 Rankings (Sell) on two
other widely held stocks: Ivanhoe Mines Ltd.
(NYSE: IVN) and Innophos Holdings, Inc (Nasdaq: IPHS). 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 STFC and TFSL 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:
State Auto Financial's (Nasdaq: STFC) third-quarter loss
of 4 cents per share, reported on
November 2, came in a 46 cents worse than analysts' expectations.
Moreover the net income per diluted share also decreased 100% on a
year-over-year basis. For 2010, the Zacks Consensus Estimate moved
down 3 cents to a loss of
6 cents per share over the past
month. The forecast for 2011 dropped 7
cents to $1.05 per share in
the same period.
TFS Financial Corporation (Nasdaq: TFSL) posted a
fourth-quarter loss of 4 cents per
share on November 10 in contrast to
the Zacks Consensus Estimate for a profit of a penny. The full-year
average forecast is pegged at a profit of $0.01 per share, which declined from $0.11 in the last 60 days. During that time, next
year's estimate slid 6 cents to
$0.13 per share.
Here is a synopsis of why IVN and IPHS 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;
Ivanhoe Mines Ltd. (NYSE: IVN) third -
quarter loss of 5 cents per share,
announced on November 10, missed
analysts' expectations by 150%. Also the net revenue decreased by
nearly 45 % as compared to last year same period. The Zacks
Consensus Estimate for 2010 worsened 14
cents to a loss of 24 cents
per share over the 30 days as the covering analysts revised
downwards. The same period has seen a decline of 13 cents in the forecast for 2011, which now
stands at a loss of 13 cents per
share.
Innophos Holdings, Inc (Nasdaq: IPHS) reported a
third-quarter profit of 75 cents per
share in the month of November while analysts anticipated a profit
of 83 cents. Moreover the diluted EPS
for the third quarter 2010 was a loss of $0.10. The Zacks Consensus Estimate for the
current year dipped 7 cents to a
profit of $2.77 per share in the last
90 days as covering analysts pulled back on expectations.
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 +27%. 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 (-0.9% versus +9%). 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
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which was formed in 1978 by Leonard
Zacks. As a PhD in mathematics Len knew he could find
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investment results. Amongst his many accomplishments was the
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which continues to outperform the market by nearly a 3 to 1 margin.
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Disclaimer: Past performance does not guarantee future
results. Investors should always research companies and
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security.
Contact: Michael
Vodicka
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Company: Zacks.com
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SOURCE Zacks Investment Research, Inc.