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Zacks Investment Ideas feature highlights: Taiwan Semiconductor Manufacturing, UnitedHealth and Lockheed Martin

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For Immediate Release

Chicago, IL – October 1, 2024 – Today, Zacks Investment Ideas feature highlights Taiwan Semiconductor Manufacturing (TSM - Free Report) , UnitedHealth (UNH - Free Report) and Lockheed Martin (LMT - Free Report) .

A Closer Look at "Wide Moat" Stocks

Zacks Thematic Screens lets you dive into 30 dynamic investment themes shaping the future. Whether you're interested in cutting-edge technology, renewable energy, or healthcare innovations, our themes help you invest in ideas that matter to you.

Thematic investing has emerged as a powerful way for investors to sync their portfolios with emerging trends. A mix of long-term and short-term themes is increasingly dictating which companies lead as economies expand and markets shift.

While stocks in each theme aren't direct recommendations, they offer a solid starting point. Leverage the Zacks Rank and other metrics to identify the best stocks for your strategy. Each featured stock comes with a Zacks report, giving you the tools to analyze performance and potential.

For those interested in viewing the Thematic lists, please click here >>> Thematic Screens – Zacks Investment Research.

Let's take a closer look at the 'Wide Moat' theme and analyze a few stocks within.

Wide Moat Explained

Imagine investing in companies that not only lead their industries today but are also strategically fortified to dominate well into the future.

This is the essence of the "wide moat" investment theme, where businesses possess durable competitive advantages - dubbed moats - that shield them from competitors. Inspired by Warren Buffett's investment philosophy, this theme features companies with unique strengths such as brand recognition, patent protection, proprietary technology, and network effects.

These moats ensure long-term profitability and market leadership, making such companies resilient in volatile markets. Please click here for a direct link to the Wide Moat thematic list >>> Zacks Thematic Screens – Wide Moat.

Screen Results

Let's take a look at a few stocks that the screen provided.

1.) Taiwan Semiconductor Manufacturing

Taiwan Semiconductor, a current Zacks Rank #2 (Buy), has seen the revisions trend for its current fiscal year turn notably bullish. The company is the world's largest dedicated integrated circuit foundry.

The company has long been a favorite among income-focused investors who are also seeking chip exposure, carrying a 5.5% five-year annualized dividend growth rate. Shares have overall benefited nicely on the back of the semiconductor trade fueled by AI this year, up more than 60%.

2.) UnitedHealth

UnitedHealth, a current Zacks Rank #2 (Buy), provides a wide range of healthcare products and services, including health maintenance organizations, point-of-service plans, preferred provider organizations, and managed fee-for-service programs.

Shares have been red-hot over the last three months, gaining nearly 20% and driven by better-than-expected quarterly results. Concerning its latest release, the company exceeded both consensus earnings and sales expectations, with EPS growing 10% alongside a 6% sales increase.

The company's top line growth has been historically strong, as shown below. Please note that the final value is on a trailing twelve-month basis.

3.) Lockheed Martin

Lockheed Martin, a current Zacks Rank #2 (Buy), is the largest defense contractor in the world. The company has long been a favorite among income-focused investors, underpinned by its 7.4% five-year annualized dividend growth rate.

Shares have been consistently strong over the last decade, gaining 330% compared to the S&P 500's 270% gain. On an annualized basis over the last decade, shares have averaged an impressive 15%.

Bottom Line

Zacks Thematic Screens lets you dive into 30 dynamic investment themes shaping the future. Whether you're interested in cutting-edge technology, renewable energy, or healthcare innovations, our themes help you invest in ideas that matter to you.

For those interested in viewing the Thematic lists, please click here >>> Thematic Screens – Zacks Investment Research.

Please click here for a direct link to the Wide Moat thematic list >>> Zacks Thematic Screens – Wide Moat

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Zacks Investment Research

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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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