Zacks.com featured highlights include Mission Produce, Accel Entertainment, BrainsWay and First Bank

For Immediate ReleaseChicago, IL – February 7, 2025 – Stocks in this week’s article are — Mission Produce, Inc. AVO, Accel Entertainment Inc. ACEL, BrainsWay, Ltd. BWAY and First Bank FRBA.4 Top-Ranked Solid Net Profit Margin Stocks to Boost Portfolio ReturnsNet profit, also referred to as the bottom line, is one of the key tools to determine the financial health of an enterprise. The metric demonstrates a company’s ability to convert per-dollar sales into profits.A low profit margin indicates higher risks, implying that a revenue drop might dampen profits, pushing a company into the red. Mission Produce, Inc., Accel Entertainment Inc., BrainsWay, Ltd. and First Bank, however, boast solid net profit margins.Net Profit Margin = Net profit/Sales * 100In simple terms, net profit is the amount a company retains after deducting all costs, interest, depreciation, taxes and other expenses. In fact, net profit margin can turn out to be a potent point of reference to gauge the strength of a company’s operations and its cost-control measures.Also, higher net profit is essential for rewarding stakeholders. Further, strength in the metric not only attracts investors but also draws well-skilled employees who eventually enhance business value.Moreover, a higher net profit margin compared with peers provides a company with a competitive edge.Pros and ConsNet profit margin helps investors gain clarity on a company’s business model in terms of pricing policy, cost structure and manufacturing efficiency. Hence, a strong net profit margin is preferred by all classes of investors.However, net profit margin, as an investment criterion, has its share of pitfalls. The metric varies widely from industry to industry. While net income is a key metric for investment measurement in traditional industries, it is not that important for technology companies.In addition, the difference in accounting treatment of various items — especially non-cash expenses like depreciation and stock-based compensation — makes comparison a daunting task.Furthermore, for companies preferring to grow with debt instead of equity funding, higher interest expenses usually weigh on net profit. In such cases, the measure is rendered ineffective while analyzing a company’s performance.The Winning StrategyA healthy net profit margin and solid EPS growth are the two most sought-after elements in a business model.Apart from these, we have added a few criteria to ensure maximum returns from this strategy.Here we discuss our four picks from the 18 stocks that qualified the screen:Mission Produce sources, produces, packs, distributes and markets avocados, mangoes and blueberries principally in the United States and internationally. The stock sports a Zacks Rank of 1 at present and has a VGM Score of A. You can see the complete list of today’s Zacks #1 Rank stocks here.The Zacks Consensus Estimate for Mission Produce’s fiscal 2025 earnings has been revised upward by 44.8% to 42 cents per share in the past 60 days. AVO surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 1,154%.Accel Entertainment is a distributed gaming operator, primarily in the United States. The stock sports a Zacks Rank of 1 at present and a VGM Score of A.The Zacks Consensus Estimate for Accel Entertainment’s 2025 earnings has remained unchanged at 85 cents in the past 60 days. ACEL surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 26.1%.BrainsWay is a commercial-stage medical device company. It is focused on the development and sale of non-invasive neuromodulation products using its proprietary Deep Transcranial Magnetic Stimulation technology for the treatment of major depressive disorder and obsessive-compulsive disorder. The stock sports a Zacks Rank of 1 at present and a VGM Score of B.The Zacks Consensus Estimate for BrainsWay’s 2025 earnings has been revised upward to 16 cents per share from 9 cents in the past 60 days. BWAY surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 211.1%.First Bank is a state-chartered bank with five full-service branches. It provides personal and business banking services in New Jersey. The stock currently sports a Zacks Rank of 1 and has a VGM Score of B.The Zacks Consensus Estimate for First Bank’s 2025 earnings has been revised upward by 14 cents to $1.78 per share in the past 30 days. FRBA surpassed the Zacks Consensus Estimate thrice in the trailing four quarters while missing the same on one occasion, the average surprise being 5.5%.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/2410792/4-top-ranked-solid-net-profit-margin-stocks-to-boost-portfolio-returns?art_rec=quote-stock_overview-zacks_news-ID01-txt-2410792Zacks 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 GiaquintoCompany: Zacks.comPhone: 312-265-9268Email: pr@zacks.comVisit: 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/performance for information about the performance numbers displayed in this press release.Free Today: Profiting from The Future’s Brightest Energy SourceThe demand for electricity is growing exponentially. At the same time, we’re working to reduce our dependence on fossil fuels like oil and natural gas. Nuclear energy is an ideal replacement.Leaders from the US and 21 other countries recently committed to TRIPLING the world’s nuclear energy capacities. This aggressive transition could mean tremendous profits for nuclear-related stocks – and investors who get in on the action early enough.Our urgent report, Atomic Opportunity: Nuclear Energy's Comeback, explores the key players and technologies driving this opportunity, including 3 standout stocks poised to benefit the most.Download Atomic Opportunity: Nuclear Energy's Comeback free today.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report First Bank (FRBA): Free Stock Analysis Report Brainsway Ltd. Sponsored ADR (BWAY): Free Stock Analysis Report Accel Entertainment, Inc. (ACEL): Free Stock Analysis Report Mission Produce, Inc. (AVO): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks