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Zacks.com featured highlights Arcos Dorados, Photronics, The Andersons and GigaCloud
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For Immediate Release
Chicago, IL – January 16, 2024 – Stocks in this week’s article are Arcos Dorados Holdings Inc. (ARCO - Free Report) , Photronics, Inc. (PLAB - Free Report) , The Andersons, Inc. (ANDE - Free Report) and GigaCloud Technology Inc. (GCT - Free Report) .
4 High-Flying Stocks to Bet On with Increasing Cash Flows
Cash is the lifeblood of any business. It offers the flexibility to make decisions, the means to make potential investments and fuel to run its growth engine. In fact, it holds the key to a company’s existence, development and success.
In this regard, stocks like Arcos Dorados Holdings Inc., Photronics, Inc., The Andersons, Inc. and GigaCloud Technology Inc. are worth buying.
Even a company generating profits might face bankruptcy while meeting obligations if it is low on cash flow. However, a company with a sturdy cash balance can effectively tide over any market mayhem. It also indicates that profits are being channelized in the right direction.
Moreover, analyzing a company’s cash-generating efficiency has indeed become all the more relevant amid uncertainties in the global economy, market disruptions and dislocations, as well as liquidity concerns.
To figure out this efficiency, one needs to consider a company’s net cash flow. While in any business, cash moves in and out, it is net cash flow that explains how much money a company is actually generating.
If a company is experiencing a positive cash flow, it denotes an increase in its liquid assets, which gives it the means to meet debt obligations, shell out for expenses, reinvest in the business, endure downturns and finally return wealth to shareholders. On the other hand, a negative cash flow indicates a decline in the company’s liquidity, which in turn lowers its flexibility to support these moves.
However, having a positive cash flow merely does not secure a company’s future growth. To ride on the growth curve, a company must have its cash flow increasing because that indicates management’s efficiency in regulating its cash movements and less dependency on outside financing for running its business.
Therefore, keep yourself abreast with the following screen to bet on stocks with rising cash flows.
Here are our four picks out of the 15 stocks that qualified the screening:
Arcos Dorados operates as a franchisee of McDonald's, with its operations divided into Brazil, the North Latin America division, South Latin America and the Caribbean division. It also runs quick-service restaurants in Latin America and the Caribbean.
The Zacks Consensus Estimate for Arcos Dorados’ 2024 earnings per share has been revised 8% upward to 95 cents in the past two months. ARCO has a VGM Score of A.
Photronics is a leading worldwide manufacturer of photomasks. Photomasks are high-precision quartz plates that contain microscopic images of electronic circuits. A key element in the manufacture of semiconductors and flat panel displays, photomasks are used to transfer circuit patterns onto semiconductor wafers and flat panel substrates during the fabrication of integrated circuits, a variety of flat panel displays and, to a lesser extent, other types of electrical and optical components.
The Zacks Consensus Estimate for Photronics’ fiscal 2024 earnings has moved up by 15.6% to $2.60 per share in the past month. PLAB currently has a VGM Score of A.
The Andersons is a regional grain merchandiser with diversified businesses in agriculture, plant nutrient formulation and distribution, turf product production, railcar marketing and general merchandise retailing that generate revenues. The company maintains grain and production facilities throughout the Midwest and six retail locations in northern and central Ohio.
The Zacks Consensus Estimate for ANDE Group’s 2024 earnings has moved up by 13.5% to $3.86 per share in the past two months. At present, ANDE flaunts a VGM Score of A.
GigaCloud is a pioneer of global end-to-end B2B e-commerce solutions for large parcel merchandise. Its platform integrates various aspects of e-commerce, including product discovery, payment processing and logistics, to streamline the buying and selling process for large items.
The Zacks Consensus Estimate for GCT’s 2024 earnings per share has moved up 13.8% over the past month to $2.23. GigaCloud has a VGM Score of A.
Get the rest of the stocks on the list and start putting this and other ideas to the test. It can all be done with the Research Wizard stock picking and back-testing software.
The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.
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.
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/performance for information about the performance numbers displayed in this press release.
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Zacks.com featured highlights Arcos Dorados, Photronics, The Andersons and GigaCloud
For Immediate Release
Chicago, IL – January 16, 2024 – Stocks in this week’s article are Arcos Dorados Holdings Inc. (ARCO - Free Report) , Photronics, Inc. (PLAB - Free Report) , The Andersons, Inc. (ANDE - Free Report) and GigaCloud Technology Inc. (GCT - Free Report) .
4 High-Flying Stocks to Bet On with Increasing Cash Flows
Cash is the lifeblood of any business. It offers the flexibility to make decisions, the means to make potential investments and fuel to run its growth engine. In fact, it holds the key to a company’s existence, development and success.
In this regard, stocks like Arcos Dorados Holdings Inc., Photronics, Inc., The Andersons, Inc. and GigaCloud Technology Inc. are worth buying.
Even a company generating profits might face bankruptcy while meeting obligations if it is low on cash flow. However, a company with a sturdy cash balance can effectively tide over any market mayhem. It also indicates that profits are being channelized in the right direction.
Moreover, analyzing a company’s cash-generating efficiency has indeed become all the more relevant amid uncertainties in the global economy, market disruptions and dislocations, as well as liquidity concerns.
To figure out this efficiency, one needs to consider a company’s net cash flow. While in any business, cash moves in and out, it is net cash flow that explains how much money a company is actually generating.
If a company is experiencing a positive cash flow, it denotes an increase in its liquid assets, which gives it the means to meet debt obligations, shell out for expenses, reinvest in the business, endure downturns and finally return wealth to shareholders. On the other hand, a negative cash flow indicates a decline in the company’s liquidity, which in turn lowers its flexibility to support these moves.
However, having a positive cash flow merely does not secure a company’s future growth. To ride on the growth curve, a company must have its cash flow increasing because that indicates management’s efficiency in regulating its cash movements and less dependency on outside financing for running its business.
Therefore, keep yourself abreast with the following screen to bet on stocks with rising cash flows.
Here are our four picks out of the 15 stocks that qualified the screening:
Arcos Dorados operates as a franchisee of McDonald's, with its operations divided into Brazil, the North Latin America division, South Latin America and the Caribbean division. It also runs quick-service restaurants in Latin America and the Caribbean.
The Zacks Consensus Estimate for Arcos Dorados’ 2024 earnings per share has been revised 8% upward to 95 cents in the past two months. ARCO has a VGM Score of A.
Photronics is a leading worldwide manufacturer of photomasks. Photomasks are high-precision quartz plates that contain microscopic images of electronic circuits. A key element in the manufacture of semiconductors and flat panel displays, photomasks are used to transfer circuit patterns onto semiconductor wafers and flat panel substrates during the fabrication of integrated circuits, a variety of flat panel displays and, to a lesser extent, other types of electrical and optical components.
The Zacks Consensus Estimate for Photronics’ fiscal 2024 earnings has moved up by 15.6% to $2.60 per share in the past month. PLAB currently has a VGM Score of A.
The Andersons is a regional grain merchandiser with diversified businesses in agriculture, plant nutrient formulation and distribution, turf product production, railcar marketing and general merchandise retailing that generate revenues. The company maintains grain and production facilities throughout the Midwest and six retail locations in northern and central Ohio.
The Zacks Consensus Estimate for ANDE Group’s 2024 earnings has moved up by 13.5% to $3.86 per share in the past two months. At present, ANDE flaunts a VGM Score of A.
GigaCloud is a pioneer of global end-to-end B2B e-commerce solutions for large parcel merchandise. Its platform integrates various aspects of e-commerce, including product discovery, payment processing and logistics, to streamline the buying and selling process for large items.
The Zacks Consensus Estimate for GCT’s 2024 earnings per share has moved up 13.8% over the past month to $2.23. GigaCloud has a VGM Score of A.
Get the rest of the stocks on the list and start putting this and other ideas to the test. It can all be done with the Research Wizard stock picking and back-testing software.
The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.
Click here to sign up for a free trial to the Research Wizard today.
For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/2210028/4-high-flying-stocks-to-bet-on-with-increasing-cash-flows
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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/performance for information about the performance numbers displayed in this press release.