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Zacks.com featured highlights include Sensus Healthcare, Diebold Nixdorf, Adtalem Global Education, Dycom Industries and Superior Group
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For Immediate Release
Chicago, IL – May 30, 2024 – Stocks in this week’s article are Sensus Healthcare Inc. (SRTS - Free Report) , Diebold Nixdorf Inc. (DBD - Free Report) , Adtalem Global Education Inc. (ATGE - Free Report) , Dycom Industries Inc. (DY - Free Report) and Superior Group of Companies Inc. (SGC - Free Report) .
5 Stocks with Recent Price Strength That Have More Upside Left
The 15-month bull run of U.S. stock markets suffered a surprise setback in April. We believe that April's meltdown is nothing but a bull market correction and this time a welcome one as Wall Street has rebounded in May.
The Department of Labor reported that the U.S. economy added 175,000 jobs in April, missing the consensus estimate of 200,000. Job additions in March were revised upward by 12,000 while those in February were revised downward by 34,000.
The unemployment rate increased to 3.9% in April, compared with the consensus estimate and March's data of 3.8%. April marked the highest level since January 2022.
Month over month, the average hourly earnings rate was 0.2% in April, compared with the consensus estimate and March's data of 0.3%. Year over year, the wage rate increased 3.9% in April but came in below the consensus estimate of 4%.
The Department of Commerce reported that U.S. GDP grew at a 1.6% annualized rate in first-quarter 2024, well below the consensus estimate of 2.5%. The Department of Commerce reported that retail sales in April remained flat month over month. However, the consensus estimate was for an increase of 0.4%.
The manufacturing PMI of April came in at 49.2% and services PMI was 49.4%. Any reading below 50% indicates a contraction in activities. The manufacturing PMI expanded in March after 16 consecutive months of contraction. It again contracted in April. The services PMI contracted in April after 15 successive months of expansion.
As a result, a few stocks have shown price strength. We have selected five stocks likely to gain in the near term on the back of a favorable Zacks Rank. These companies are — Sensus Healthcare Inc., Diebold Nixdorf Inc., Adtalem Global Education Inc., Dycom Industries Inc. and Superior Group of Companies Inc..
Here's How We Arrived at the Picks
We have primarily targeted stocks that have freshly been on a bull run. Stocks seeing price strength recently have a high chance of carrying the momentum forward.
If a stock is continuously witnessing an uptrend, there must be a solid reason or it would have probably crashed. So, looking at stocks capable of beating the benchmark that they have set for themselves seems rational.
However, recent price strength alone cannot create magic. Therefore, other relevant parameters are needed to create a successful investment strategy.
Here's how you should create the screen to shortlist the current as well as the potential winners.
Let's discuss five out of these seven stocks:
Sensus Healthcare is a medical device company that specializes in the treatment of non-melanoma skin cancers and other skin conditions, such as keloids, with superficial radiation therapy. SRTS' portfolio of treatment devices consists of the SRT-100 and SRT-100 Vision.
The stock price of Sensus Healthcare has soared 79.9% in the past four weeks. It has an expected earnings growth rate of more than 100% for the current year. The Zacks Consensus Estimate for current-year earnings has improved more than 100% over the last 30 days.
Diebold Nixdorf is engaged in the automating, digitizing and transforming the way people bank and shop. Its operating segments include Banking and Retail. DBD offers cash recyclers and dispensers, intelligent deposit terminals, teller automation tools and kiosk technologies, as well as physical security solutions and front-end applications for consumer connection points and back-end platforms.
The stock price of Diebold Nixdorf has jumped 36.8% in the past four weeks. DBD has an expected earnings growth rate of 3.5% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 47% over the last 30 days.
Adtalem Global Education has been benefiting on the back of solid enrollment growth and effective implementation of its cost-saving initiatives. ATGE's Growth with Purpose strategy allowed it to expand access to high-quality, in-demand programs. Furthermore, strategic collaborations, and focus on innovation investments are encouraging.
Although soft enrollment trends in the Medical and Veterinary segments and increased expenses are concerning, ATGE once again raised its fiscal 2024 adjusted earnings and revenue outlook given the improving trend.
The stock price of Adtalem Global Education has climbed 31.3% in the past four weeks. It has an expected earnings growth rate of 16.4% for the current year (ending June 2024). The Zacks Consensus Estimate for current-year earnings has improved 5.8% over the last 30 days.
Dycom Industries is seeing significant opportunities, as some major industry participants are deploying wireline networks to offer bandwidth-enabling 1-gigabit speeds using 5G technologies. Also, DY has been benefiting from continuous contract flow despite prevailing market uncertainties.
DY's backlog at fiscal 2024-end totaled $6.917 billion, up from $6.141 billion in fiscal 2023 and sequentially from $6.613 billion. Although lower contributions from DY's top five customers have put pressure on the top line, demand increased for all other customers, up 17.8% organically in fourth-quarter fiscal 2024.
The stock price of Dycom Industries has surged 25.3% in the past four weeks. It has an expected earnings growth rate of 4% for the current year (ending January 2025). The Zacks Consensus Estimate for current-year earnings has improved 6.7% over the last seven days.
Superior Group of Companies manufactures and sells apparel and accessories in the United States and internationally. SGC operates through three segments: Branded Products, Healthcare Apparel, and Contact Centers.
The stock price of Superior Group of Companies has advanced 14.6% in the past four weeks. SGC has an expected earnings growth rate of 38.9% for the current year. The Zacks Consensus Estimate for current-year earnings improved 17.2% over the last 30 days.
You can get the rest of the stocks on this list by signing up now for your 2-week free trial to the Research Wizard and start using this screen in your own trading. Further, you can also create your own strategies and test them first before taking the investment plunge.
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.
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 that are 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 that are mentioned in this material.
About Screen of the Week
Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine. But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has more than doubled the market from 1988 through 2016. Its average gain has been a stellar +25% per year. See these high-potential stocks free >>.
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/performancefor information about the performance numbers displayed in this press release.
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Zacks.com featured highlights include Sensus Healthcare, Diebold Nixdorf, Adtalem Global Education, Dycom Industries and Superior Group
For Immediate Release
Chicago, IL – May 30, 2024 – Stocks in this week’s article are Sensus Healthcare Inc. (SRTS - Free Report) , Diebold Nixdorf Inc. (DBD - Free Report) , Adtalem Global Education Inc. (ATGE - Free Report) , Dycom Industries Inc. (DY - Free Report) and Superior Group of Companies Inc. (SGC - Free Report) .
5 Stocks with Recent Price Strength That Have More Upside Left
The 15-month bull run of U.S. stock markets suffered a surprise setback in April. We believe that April's meltdown is nothing but a bull market correction and this time a welcome one as Wall Street has rebounded in May.
The Department of Labor reported that the U.S. economy added 175,000 jobs in April, missing the consensus estimate of 200,000. Job additions in March were revised upward by 12,000 while those in February were revised downward by 34,000.
The unemployment rate increased to 3.9% in April, compared with the consensus estimate and March's data of 3.8%. April marked the highest level since January 2022.
Month over month, the average hourly earnings rate was 0.2% in April, compared with the consensus estimate and March's data of 0.3%. Year over year, the wage rate increased 3.9% in April but came in below the consensus estimate of 4%.
The Department of Commerce reported that U.S. GDP grew at a 1.6% annualized rate in first-quarter 2024, well below the consensus estimate of 2.5%. The Department of Commerce reported that retail sales in April remained flat month over month. However, the consensus estimate was for an increase of 0.4%.
The manufacturing PMI of April came in at 49.2% and services PMI was 49.4%. Any reading below 50% indicates a contraction in activities. The manufacturing PMI expanded in March after 16 consecutive months of contraction. It again contracted in April. The services PMI contracted in April after 15 successive months of expansion.
As a result, a few stocks have shown price strength. We have selected five stocks likely to gain in the near term on the back of a favorable Zacks Rank. These companies are — Sensus Healthcare Inc., Diebold Nixdorf Inc., Adtalem Global Education Inc., Dycom Industries Inc. and Superior Group of Companies Inc..
Here's How We Arrived at the Picks
We have primarily targeted stocks that have freshly been on a bull run. Stocks seeing price strength recently have a high chance of carrying the momentum forward.
If a stock is continuously witnessing an uptrend, there must be a solid reason or it would have probably crashed. So, looking at stocks capable of beating the benchmark that they have set for themselves seems rational.
However, recent price strength alone cannot create magic. Therefore, other relevant parameters are needed to create a successful investment strategy.
Here's how you should create the screen to shortlist the current as well as the potential winners.
Let's discuss five out of these seven stocks:
Sensus Healthcare is a medical device company that specializes in the treatment of non-melanoma skin cancers and other skin conditions, such as keloids, with superficial radiation therapy. SRTS' portfolio of treatment devices consists of the SRT-100 and SRT-100 Vision.
The stock price of Sensus Healthcare has soared 79.9% in the past four weeks. It has an expected earnings growth rate of more than 100% for the current year. The Zacks Consensus Estimate for current-year earnings has improved more than 100% over the last 30 days.
Diebold Nixdorf is engaged in the automating, digitizing and transforming the way people bank and shop. Its operating segments include Banking and Retail. DBD offers cash recyclers and dispensers, intelligent deposit terminals, teller automation tools and kiosk technologies, as well as physical security solutions and front-end applications for consumer connection points and back-end platforms.
The stock price of Diebold Nixdorf has jumped 36.8% in the past four weeks. DBD has an expected earnings growth rate of 3.5% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 47% over the last 30 days.
Adtalem Global Education has been benefiting on the back of solid enrollment growth and effective implementation of its cost-saving initiatives. ATGE's Growth with Purpose strategy allowed it to expand access to high-quality, in-demand programs. Furthermore, strategic collaborations, and focus on innovation investments are encouraging.
Although soft enrollment trends in the Medical and Veterinary segments and increased expenses are concerning, ATGE once again raised its fiscal 2024 adjusted earnings and revenue outlook given the improving trend.
The stock price of Adtalem Global Education has climbed 31.3% in the past four weeks. It has an expected earnings growth rate of 16.4% for the current year (ending June 2024). The Zacks Consensus Estimate for current-year earnings has improved 5.8% over the last 30 days.
Dycom Industries is seeing significant opportunities, as some major industry participants are deploying wireline networks to offer bandwidth-enabling 1-gigabit speeds using 5G technologies. Also, DY has been benefiting from continuous contract flow despite prevailing market uncertainties.
DY's backlog at fiscal 2024-end totaled $6.917 billion, up from $6.141 billion in fiscal 2023 and sequentially from $6.613 billion. Although lower contributions from DY's top five customers have put pressure on the top line, demand increased for all other customers, up 17.8% organically in fourth-quarter fiscal 2024.
The stock price of Dycom Industries has surged 25.3% in the past four weeks. It has an expected earnings growth rate of 4% for the current year (ending January 2025). The Zacks Consensus Estimate for current-year earnings has improved 6.7% over the last seven days.
Superior Group of Companies manufactures and sells apparel and accessories in the United States and internationally. SGC operates through three segments: Branded Products, Healthcare Apparel, and Contact Centers.
The stock price of Superior Group of Companies has advanced 14.6% in the past four weeks. SGC has an expected earnings growth rate of 38.9% for the current year. The Zacks Consensus Estimate for current-year earnings improved 17.2% over the last 30 days.
You can get the rest of the stocks on this list by signing up now for your 2-week free trial to the Research Wizard and start using this screen in your own trading. Further, you can also create your own strategies and test them first before taking the investment plunge.
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/2280427/5-stocks-with-recent-price-strength-that-have-more-upside-left
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 that are 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 that are mentioned in this material.
About Screen of the Week
Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine. But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has more than doubled the market from 1988 through 2016. Its average gain has been a stellar +25% per year. See these high-potential stocks free >>.
Follow us on Twitter: https://www.twitter.com/zacksresearch
Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch
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.
Contact: Jim Giaquinto
Company: Zacks.com
Phone: 312-265-9268
Email: pr@zacks.com
Visit: https://www.zacks.com/
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/performancefor information about the performance numbers displayed in this press release.