Buy These 3 Stocks With Upgraded Broker Ratings Right Away
It is always recommended to follow broker rating upgrades for finding profitable stocks. Hence, we select Textron (TXT), Saia (SAIA), and LKQ Corp. (L...
With overall market sentiments being fairly bullish, you may be thinking that choosing stocks would be the easiest thing on earth. However, with almost every stock witnessing an optimistic stance, you might end up picking the wrong ones.
So, it will be wise to seek help from experts. One way to cut this task out is to follow broker recommendation.
Brokers have far more insight into stocks and overall sectors. They analyze a company’s publicly available documents, attend conference calls and are in direct communication with top management. Also, they talk to customers to understand what they like or dislike about the products and services offered by a company.
There’s an all-inclusive research behind the rating of a broker on a company’s stock. Closely following what the majority of brokers are saying about a stock can help you gauge its potential. Therefore, when a broker upgrades a stock, you can easily rely on it.
Nonetheless, it’s not the right thing to depend solely on brokers’ upgrades to build your portfolio. You must also take into consideration other factors to ensure stable returns.
Choosing the Winning Strategy
We have a screening strategy that will help you in your search for potential winners:
Broker Rating Upgrades (four weeks) of 1% or more: The screen selects stocks that have witnessed broker rating upgrades of 1% or more over the last four weeks.
Current Price greater than $5: The stocks must be trading above $5.
Average 20-day Volume greater than 100,000: A large trading volume guarantees that the stock is easily tradable.
Zacks Rank equal to #1 or 2: No matter whether market conditions are good or bad, stocks with a Zacks Rank #1 (Strong Buy) or 2 (Buy) have a proven record of success. You can see the complete list of today’s Zacks #1 Rank stocks here.
VGM Score of A or B: Our research shows that stocks with a VGM Score of A or B when combined with a Zacks Rank #1 or 2 offer the best upside potential.
Here are the three stocks that qualified the screening:
Textron Inc. TXT is a global multi-industry company that manufactures aircraft, automotive engine components and industrial tools. The Providence, RI-based company’s earnings for 2021 are projected to soar 58.5%. The stock, currently carrying a Zacks Rank #2, has witnessed a 12.5% upward revision in broker ratings over the past four weeks.
Saia, Inc. SAIA operates as a transportation company in North America. This Johns Creek, GA-based company’s earnings are projected to surge 51.5% for 2021. The stock, sporting a Zacks Rank #1 at present, has witnessed an 8.3% upward revision in broker ratings over the past four weeks.
Based in Chicago, IL, LKQ Corporation LKQ is one of the leading providers of replacement parts, components, and systems that are required to repair as well as maintain vehicles. Its earnings for 2021 are projected to increase at a rate of 41.6%. The stock, which currently sports a Zacks Rank #1, has witnessed a 10% upward revision in broker ratings over the past four weeks.
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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.
Disclosure: Performance information for Zacks’ portfolios and strategies are available at: https://www.zacks.com/performance
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Textron Inc. (TXT): Free Stock Analysis Report
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Saia, Inc. (SAIA): Free Stock Analysis Report
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