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Amplify Energy and KnightSwift Transportation have been highlighted as Zacks Bull and Bear of the Day
Read MoreHide Full Article
For Immediate Release
Chicago, IL – July 24, 2024 – Zacks Equity Research shares Amplify Energy (AMPY - Free Report) as the Bull of the Day and KnightSwift Transportation (KNX - Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on NVIDIA Corporation (NVDA - Free Report) , Coinbase Global, Inc. (COIN - Free Report) and Block, Inc. (SQ - Free Report) .
Amplify Energy is a Zacks Rank #2 (Buy) that has an A for Value and an A for Growth. This company is in the oil and gas exploration and production market. The company has operations in the Rockies, offshore California and a few other locations. Let's explore more about this company in this Bull of The Day article.
Description
Amplify Energy Corp. is an independent oil and natural gas company, which engages in the acquisition, development, exploration, and production of oil and natural gas properties. It focuses on operations in Oklahoma, the Rockies, offshore Southern California, East Texas and North Louisiana, and Eagle Ford. The company was founded in 2011 and is headquartered in Houston, TX.
Earnings History
When I look at a stock, the first thing I do is look to see if the company is beating the number. This tells me right away where the market's expectations have been for the company and how management has communicated to the market. A stock that consistently beats has management communicating expectations to Wall Street that can be achieved. That is what you want to see.
The earnings history is bumpy to say the least. The most recent quarter was a huge miss but it was preceded by an even larger beat.
Four quarters ago was a big beat but it was followed by an even bigger miss.
So the beat, miss, beat miss pattern is in effect, but the size of the misses and beats is very big. The smallest miss was the most recent quarter with a -204% while the smallest beat was 242%.
Earnings Estimates Revisions
Earnings estimates revisions is what the Zacks Rank is all about.
Estimates are moving higher for Amplify Energy.
Estimates are up sharply over the last 30 days and the fact that there wasn't an estimate for the 2025 year is the only reason that this stock is not a Zacks Rank #1 (Strong Buy).
This quarter has moved up from 25 cents to 34 cents.
Next quarter is up from 34 cents to 39 cents.
The full year 2024 has increased from $1.15 to $1.35.
Next year is at $1.60 and has not moved since its inception at some point over the last 30 days.
Growth
The company has met the topline estimate in the most recent quarter, breaking a streak of at least six quarters that saw the topline beat the number.
For 2024 the company is expected to show 5.8% growth and that accelerates to 8.6%.
Valuation
The forward PE is 5.6x and that is super low. Price to book is at 0.8x which means you can buy the stock at a 20% discount to the assets on the books.
Margins are looking good with the Zacks site showing 12% moving to 10%... which is not good but the June quarter which is not shown on the site is at 14%. Gross margins are at 33%.
KnightSwift Transportation is a Zacks Rank #5 (Strong Sell) as earnings estimates have tracked lower following an earnings miss in late April and just ahead of the next earnings report that is due out on July 24 after the market closes. The company is one of the largest truckers in North American and also provides logistics services. This article will look at why this stock is a Zacks Rank #5 (Strong Sell) as it is the Bear of the Day.
Description
Knight-Swift Transportation Holdings Inc. is the largest truckload carrier in North America. The company based in Phoenix, AZ, also provides transportation solutions and aims to grow through mergers and acquisitions. It serves customers throughout North America, providing them with numerous efficient and low-cost truckload transportation, intermodal and logistics services.
Earnings History
When I look at a stock, the first thing I do is look to see if the company is beating the number. This tells me right away where the market's expectations have been for the company and how management has communicated to the market. A stock that consistently beats has management communicating expectations to Wall Street that can be achieved. That is what you want to see.
In the case of KnightSwift Transportation, I see three misses of the Zacks Consensus Estimate and one beat. The most recent quarter was a miss with the company posting $0.12 when the consensus was calling for $0.19. This alone does not make the stock a Zacks Rank #1 (Strong Buy) and it doesn't make it a Zacks Rank #5 (Strong Sell) either.
The Zacks Rank does care about the earnings history, but it is much more heavily influenced by the movement of earnings estimates.
Earnings Estimates
The Zacks Rank tells us which stocks are seeing earnings estimates move higher or in this case lower. For KNX I see annual estimates moving lower of late.
The current fiscal year consensus number moved lower from $1.26 to $1.21 over the last 60 days.
The next year has moved from $2.87 to $2.81 over the last 60 days.
Negative movement in earnings estimates like that is why this stock is a Zacks Rank #5 (Strong Sell).
It should be noted that a lot of stocks in the Zacks universe are seeing negative earnings estimate revisions. That means that the stocks that are seeing small but negative earnings estimate revisions are falling to a Zacks Rank #5 (Strong Sell).
Additional content:
Is $70k Near at Hand for BTC? NVDA, COIN, SQ to Gain
The price of Bitcoin (BTC), unfortunately, entered correction territory after the Bitcoin halving event in April. However, BTC shrugged off the bearish trend and touched a 30-day high of $68,477.85 on Jul 22. Currently, BTC is priced above its support level of $67,000 and is well-positioned to surpass the $70,000 resistance level soon.
As of Jul 22, BTC long contracts were at $1.28 billion, way more than the short positions valued at $1.20 billion. Thus, with BTC's long contracts exceeding short contracts, its price is expected to enter a bullish trend and attract more buyers.
What's Propelling Bitcoin Price Higher?
The continuing political events emerging in the United States proved beneficial for BTC. President Joe Biden opting to drop out from the presidential race, bolstered the chances of Donald Trump winning the election. Trump favors the crypto industry and has accepted donations in digital assets for his presidential campaigns.
By the way, there isn't any downward pressure on the BTC price as the German government has ended Bitcoin liquidations. On the other hand, the recent approval of spot Bitcoin ETFs has raised interest among prominent hedge fund managers, who are placing more bets on the flagship cryptocurrency than quintessential artificial intelligence stocks. For instance, Cathie Woods expects BTC to reach $3.8 million by 2030, more than her prediction of $1.5 million last year (read more: 2 Stocks in Cathie Wood's Portfolio to Watch Now).
Additionally, financial firms such as Millennium Management, Citadel Advisors and D.E. Shaw have already begun to take long-term positions in iShares Bitcoin Trust (IBIT), which is one of the recently accepted worthwhile spot Bitcoin ETF. IBIT's shares have already surged 15.3% over the past month.
Meanwhile, weakening economic conditions coupled with falling inflationary pressure raised hopes of an interest rate cut as early as the fall, which would undermine the dollar and increase interest in alternative assets such as BTC.
It's also worth pointing out that BTC price doesn't increase after a Bitcoin halving event. Historically, BTC price has always gone up 12 to 18 months later, which means further upside is left and 2025 can be a promising year for the world's numero uno cryptocurrency.
Bitcoin Bull Run Is Here: NVDA, COIN, SQ to Benefit
With the price of BTC set to scale upward, things are looking encouraging for NVIDIA Corporation, Coinbase Global, Inc. and Block, Inc..
NVIDIA
NVIDIA designs graphics processing units for mining cryptos such as Bitcoin. NVIDIA presently has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 (Strong Buy) Rank stocks here.
The Zacks Consensus Estimate for NVIDIA's current-year earnings has increased by 10.3% over the past 60 days. NVIDIA's expected earnings growth rate for the current year is 106.2%.
Coinbase
The largest U.S. cryptocurrency exchange, Coinbase has a Zacks Rank #2 (Buy).
The Zacks Consensus Estimate for Coinbase's next-year earnings has increased by 0.6% over the past 60 days. Coinbase's expected earnings growth rate for the current year is 1,740.5%.
Block
Digital payment company, Block, generates revenues from products like Cash App. In this platform, Bitcoin is purchased and sold. Block currently has a Zacks Rank #2.
The Zacks Consensus Estimate for Block's current-year earnings has increased by 0.7% over the past 60 days. Block's expected earnings growth rate for the current year is 72.8%.
Why Haven't You Looked at Zacks' Top Stocks?
Since 2000, our top stock-picking strategies have blown away the S&P's +7.0 average gain per year. Amazingly, they soared with average gains of +44.9%, +48.4% and +55.2% per year.
Today you can access their live picks without cost or obligation.
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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Amplify Energy and KnightSwift Transportation have been highlighted as Zacks Bull and Bear of the Day
For Immediate Release
Chicago, IL – July 24, 2024 – Zacks Equity Research shares Amplify Energy (AMPY - Free Report) as the Bull of the Day and KnightSwift Transportation (KNX - Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on NVIDIA Corporation (NVDA - Free Report) , Coinbase Global, Inc. (COIN - Free Report) and Block, Inc. (SQ - Free Report) .
Here is a synopsis of all five stocks:
Bull of the Day:
Amplify Energy is a Zacks Rank #2 (Buy) that has an A for Value and an A for Growth. This company is in the oil and gas exploration and production market. The company has operations in the Rockies, offshore California and a few other locations. Let's explore more about this company in this Bull of The Day article.
Description
Amplify Energy Corp. is an independent oil and natural gas company, which engages in the acquisition, development, exploration, and production of oil and natural gas properties. It focuses on operations in Oklahoma, the Rockies, offshore Southern California, East Texas and North Louisiana, and Eagle Ford. The company was founded in 2011 and is headquartered in Houston, TX.
Earnings History
When I look at a stock, the first thing I do is look to see if the company is beating the number. This tells me right away where the market's expectations have been for the company and how management has communicated to the market. A stock that consistently beats has management communicating expectations to Wall Street that can be achieved. That is what you want to see.
The earnings history is bumpy to say the least. The most recent quarter was a huge miss but it was preceded by an even larger beat.
Four quarters ago was a big beat but it was followed by an even bigger miss.
So the beat, miss, beat miss pattern is in effect, but the size of the misses and beats is very big. The smallest miss was the most recent quarter with a -204% while the smallest beat was 242%.
Earnings Estimates Revisions
Earnings estimates revisions is what the Zacks Rank is all about.
Estimates are moving higher for Amplify Energy.
Estimates are up sharply over the last 30 days and the fact that there wasn't an estimate for the 2025 year is the only reason that this stock is not a Zacks Rank #1 (Strong Buy).
This quarter has moved up from 25 cents to 34 cents.
Next quarter is up from 34 cents to 39 cents.
The full year 2024 has increased from $1.15 to $1.35.
Next year is at $1.60 and has not moved since its inception at some point over the last 30 days.
Growth
The company has met the topline estimate in the most recent quarter, breaking a streak of at least six quarters that saw the topline beat the number.
For 2024 the company is expected to show 5.8% growth and that accelerates to 8.6%.
Valuation
The forward PE is 5.6x and that is super low. Price to book is at 0.8x which means you can buy the stock at a 20% discount to the assets on the books.
Margins are looking good with the Zacks site showing 12% moving to 10%... which is not good but the June quarter which is not shown on the site is at 14%. Gross margins are at 33%.
Bear of the Day:
KnightSwift Transportation is a Zacks Rank #5 (Strong Sell) as earnings estimates have tracked lower following an earnings miss in late April and just ahead of the next earnings report that is due out on July 24 after the market closes. The company is one of the largest truckers in North American and also provides logistics services. This article will look at why this stock is a Zacks Rank #5 (Strong Sell) as it is the Bear of the Day.
Description
Knight-Swift Transportation Holdings Inc. is the largest truckload carrier in North America. The company based in Phoenix, AZ, also provides transportation solutions and aims to grow through mergers and acquisitions. It serves customers throughout North America, providing them with numerous efficient and low-cost truckload transportation, intermodal and logistics services.
Earnings History
When I look at a stock, the first thing I do is look to see if the company is beating the number. This tells me right away where the market's expectations have been for the company and how management has communicated to the market. A stock that consistently beats has management communicating expectations to Wall Street that can be achieved. That is what you want to see.
In the case of KnightSwift Transportation, I see three misses of the Zacks Consensus Estimate and one beat. The most recent quarter was a miss with the company posting $0.12 when the consensus was calling for $0.19. This alone does not make the stock a Zacks Rank #1 (Strong Buy) and it doesn't make it a Zacks Rank #5 (Strong Sell) either.
The Zacks Rank does care about the earnings history, but it is much more heavily influenced by the movement of earnings estimates.
Earnings Estimates
The Zacks Rank tells us which stocks are seeing earnings estimates move higher or in this case lower. For KNX I see annual estimates moving lower of late.
The current fiscal year consensus number moved lower from $1.26 to $1.21 over the last 60 days.
The next year has moved from $2.87 to $2.81 over the last 60 days.
Negative movement in earnings estimates like that is why this stock is a Zacks Rank #5 (Strong Sell).
It should be noted that a lot of stocks in the Zacks universe are seeing negative earnings estimate revisions. That means that the stocks that are seeing small but negative earnings estimate revisions are falling to a Zacks Rank #5 (Strong Sell).
Additional content:
Is $70k Near at Hand for BTC? NVDA, COIN, SQ to Gain
The price of Bitcoin (BTC), unfortunately, entered correction territory after the Bitcoin halving event in April. However, BTC shrugged off the bearish trend and touched a 30-day high of $68,477.85 on Jul 22. Currently, BTC is priced above its support level of $67,000 and is well-positioned to surpass the $70,000 resistance level soon.
As of Jul 22, BTC long contracts were at $1.28 billion, way more than the short positions valued at $1.20 billion. Thus, with BTC's long contracts exceeding short contracts, its price is expected to enter a bullish trend and attract more buyers.
What's Propelling Bitcoin Price Higher?
The continuing political events emerging in the United States proved beneficial for BTC. President Joe Biden opting to drop out from the presidential race, bolstered the chances of Donald Trump winning the election. Trump favors the crypto industry and has accepted donations in digital assets for his presidential campaigns.
By the way, there isn't any downward pressure on the BTC price as the German government has ended Bitcoin liquidations. On the other hand, the recent approval of spot Bitcoin ETFs has raised interest among prominent hedge fund managers, who are placing more bets on the flagship cryptocurrency than quintessential artificial intelligence stocks. For instance, Cathie Woods expects BTC to reach $3.8 million by 2030, more than her prediction of $1.5 million last year (read more: 2 Stocks in Cathie Wood's Portfolio to Watch Now).
Additionally, financial firms such as Millennium Management, Citadel Advisors and D.E. Shaw have already begun to take long-term positions in iShares Bitcoin Trust (IBIT), which is one of the recently accepted worthwhile spot Bitcoin ETF. IBIT's shares have already surged 15.3% over the past month.
Meanwhile, weakening economic conditions coupled with falling inflationary pressure raised hopes of an interest rate cut as early as the fall, which would undermine the dollar and increase interest in alternative assets such as BTC.
It's also worth pointing out that BTC price doesn't increase after a Bitcoin halving event. Historically, BTC price has always gone up 12 to 18 months later, which means further upside is left and 2025 can be a promising year for the world's numero uno cryptocurrency.
Bitcoin Bull Run Is Here: NVDA, COIN, SQ to Benefit
With the price of BTC set to scale upward, things are looking encouraging for NVIDIA Corporation, Coinbase Global, Inc. and Block, Inc..
NVIDIA
NVIDIA designs graphics processing units for mining cryptos such as Bitcoin. NVIDIA presently has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 (Strong Buy) Rank stocks here.
The Zacks Consensus Estimate for NVIDIA's current-year earnings has increased by 10.3% over the past 60 days. NVIDIA's expected earnings growth rate for the current year is 106.2%.
Coinbase
The largest U.S. cryptocurrency exchange, Coinbase has a Zacks Rank #2 (Buy).
The Zacks Consensus Estimate for Coinbase's next-year earnings has increased by 0.6% over the past 60 days. Coinbase's expected earnings growth rate for the current year is 1,740.5%.
Block
Digital payment company, Block, generates revenues from products like Cash App. In this platform, Bitcoin is purchased and sold. Block currently has a Zacks Rank #2.
The Zacks Consensus Estimate for Block's current-year earnings has increased by 0.7% over the past 60 days. Block's expected earnings growth rate for the current year is 72.8%.
Why Haven't You Looked at Zacks' Top Stocks?
Since 2000, our top stock-picking strategies have blown away the S&P's +7.0 average gain per year. Amazingly, they soared with average gains of +44.9%, +48.4% and +55.2% per year.
Today you can access their live picks without cost or obligation.
See Stocks Free >>
Media Contact
Zacks Investment Research
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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.