Zacks.com featured highlights include Barrick Gold, Catalyst Pharmaceuticals, Allegiant Travel and America Movil
For Immediate ReleaseChicago, IL – October 15, 2024 – Stocks in this week’s article are Barrick Gold Corp. GOLD, Catalyst Pharmaceuticals, Inc. CPRX, Allegiant Travel Co. ALGT and America Movil, S.A.B. de C.V. AMX.Unlock Your Portfolio Value with These 4 High Earnings Yield StocksThe U.S. annual inflation rate slowed for the sixth consecutive month to 2.4% in September 2024, marking its lowest level since February 2021. Additionally, stagnant wholesale prices, as indicated by the latest Producer Price Index, signal continued progress on inflation. Despite political and geopolitical uncertainty, the S&P 500 has surged 22% this year and is poised for another year of double-digit gains.However, a tight U.S. presidential race and heightened Middle East tensions have investors cautious about potential market volatility. In this environment, value investing could offer a prudent strategy.Barrick Gold Corp., Catalyst Pharmaceuticals, Inc., Allegiant Travel Co. and America Movil, S.A.B. de C.V. are a few solid high earnings yield picks for value investors.Play Value Investing Using Earnings Yield MetricThe value investing approach seeks to profit from investing in stocks that appear to be trading at a discount to their intrinsic values and eventually make handsome returns when the stock price rises toward that value, reflecting the actual fundamentals.One interesting ratio that you can consider for ferreting out attractively valued stocks is earnings yield. This metric, expressed in percentage, is calculated as annual earnings per share (EPS) divided by market price. This metric measures the anticipated yield (or return) from earnings for each dollar invested in a stock today. While comparing stocks, if other factors are similar, the ones with higher earnings yield are considered undervalued, while those with lower earnings yield are seen as overpriced.While earnings yield is nothing but the reciprocal of the P/E ratio, it is albeit a little more illuminating than the traditional P/E ratio as it also facilitates the comparison of stocks with fixed-income securities. Investors often compare the earnings yield of a stock to the prevailing interest rates, such as the current 10-year Treasury yield, to get a sense of the return on investment it offers compared to virtually risk-free returns.If the yield on a stock is lower than the 10-year Treasury yield, it would be considered overvalued relative to bonds. Conversely, if the yield on the stock is higher, it would be considered undervalued. In this situation, investing in the stock market would be a better option for a value investor.Here we discuss four of the 19 stocks that qualified the screening:Barrick Gold is one of the largest gold mining companies in the world. It is well-placed to benefit from the progress in key growth projects that should significantly contribute to its production. The company's strong liquidity position and investor-friendly moves amid solid cash flows are encouraging.The Zacks Consensus Estimate for GOLD's 2024 and 2025 earnings per share implies year-over-year growth of 52% and 38%, respectively. Estimates for 2024 and 2025 earnings per share have moved up by 5 cents and 16 cents, respectively, over the past 30 days. Barrick Gold currently carries a Zacks Rank #2 and has a Value Score of A.Catalyst Pharma, a commercial-stage biopharmaceutical company, is dedicated to developing and commercializing therapies for rare and challenging diseases. The launch of Firdapse has seen promising uptake. Additionally, Catalyst Pharma's strategic acquisition of selective rights to Fycompa CIII and Agamree marks a positive expansion of its portfolio beyond Firdapse.The Zacks Consensus Estimate for CPRX's 2024 and 2025 sales implies year-over-year growth of 18.7% and 18.1%, respectively. Estimates for 2024 and 2025 earnings per share have moved up by 3 cents and 1 cent, respectively, over the past 60 days. Catalyst Pharma currently carries a Zacks Rank #2 and has a Value Score of B.Allegiant, a low-cost airline, also offers vacation packages, including car rentals and hotel bookings. Fleet modernization and improved third-quarter 2024 guidance, driven by strong travel demand, boost optimism. The company now expects third-quarter capacity to rise 1.6% year over year, up from its previous forecast of 1.3%.The Zacks Consensus Estimate for ALGT's 2025 sales and earnings implies year-over-year growth of 12% and 304%, respectively. Estimates for 2024 and 2025 earnings per share have moved up by 51 cents and 35 cents, respectively, over the past 30 days. Allegiant currently carries a Zacks Rank #2 and has a Value Score of A.America Movil is the leading provider of integrated telecommunications services in Latin America. The company is benefiting from a growing subscriber base, with 2.4 million wireless additions in second-quarter 2024, including 1.8 million postpaid. Strong growth in Brazil, Mexico, and Colombia boosts performance. Expanding 5G networks and strategic investments enhance its platform and support long-term growth.The Zacks Consensus Estimate for AMX's 2024 and 2025 earnings implies year-over-year growth of 1.5% and 33.2%, respectively. Estimates for 2024 and 2025 earnings per share have moved up by 2 cents and 5 cents, respectively, over the past 60 days. America Movil currently carries a Zacks Rank #2 and has a Value Score of A.You can get the rest of the stocks on this list by signing up now for a 2-week free trial to the Research Wizard stock picking and backtesting software. You can also create your own strategies and test them first before making investments.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/2349773/unlock-your-portfolio-value-with-these-4-high-earnings-yield-stocksDisclosure: 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 WeekZacks.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 NewsMany 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/zacksresearchJoin us on Facebook: https://www.facebook.com/ZacksInvestmentResearchZacks 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/performancefor information about the performance numbers displayed in this press release.Infrastructure Stock Boom to Sweep AmericaA massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.The only question is “Will you get into the right stocks early when their growth potential is greatest?”Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How To Profit From Trillions On Spending For Infrastructure >>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 America Movil, S.A.B. de C.V. Unsponsored ADR (AMX): Free Stock Analysis Report Barrick Gold Corporation (GOLD): Free Stock Analysis Report Allegiant Travel Company (ALGT): Free Stock Analysis Report Catalyst Pharmaceuticals, Inc. (CPRX): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks
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