BROOKFIELD ASST (BAM) - Profit Tracks

Since inception in 1988, the S&P 500 has outperformed the Zacks #5 Rank List - Stocks to Sell Now by 80% annually (+2% versus +10%). While the rest of Wall Street continued to tout stocks during the market declines of the last few years, Zacks told investors which stocks to sell or avoid.

Here is a synopsis of why WGL and BAM have a Zacks Rank of #5 (Strong Sell) and should most likely be sold or avoided for the next one to three months. Note that a #5 Strong Sell rating is applied to 5% of all the stocks in the Zacks Rank universe:

WGL Holdings, Inc. (WGL) posted a fourth-quarter loss of 29 cents per share on November 17 while analysts projected a loss of 28 cents. Consolidate earnings per share dipped 23 cents to $2.16 for fiscal year 2010. The Zacks Consensus Estimate for the current year is pegged at a profit of $2.07 per share, a decline of 36 cents in the last 60 days. The past month has seen downward revision by the covering analysts, bringing the average forecast for September 2012 down 3 cents to $2.51 per share in a span of a month.

Brookfield Asset Management Inc (BAM) announced a third-quarter profit of 16 cents per share on November 5, which was 7 cents worse than the analysts? expectations. The Zacks Consensus Estimate for the full year decreased 5 cents to 89 cents per share over the past month as all of the 4 covering analysts reduced expectations. Next year?s estimate dipped 17 cents to $1.10 in a span of two months.

Here is a synopsis of why SGK and ESC have a Zacks Rank of 4 (Sell) and should also most likely be sold or avoided for the next one to three months. Note that a #4 Sell rating is applied to 15% of all the stocks ranked by Zacks;

Schawk, Inc. (SGK)reported third-quarter earnings per share of 32 cents on November 3, which came in 6 cents shy of the Zacks Consensus Estimate. The diluted earnings per share fell 23 cents to 30 cents per share on a year-over-year basis. The full-year average forecast dipped 10 cents to $1.25 per share in the last 60 days as the covering analysts lowered expectations. Next year?s estimate dropped 6 cents to $1.62 per share in the same time span.

Emeritus Corporation?s (ESC) third-quarter loss of 34 cents per share, announced on November 4, lagged the Zacks Consensus Estimate by 8 cents. The average forecast for 2010 decreased 15 cents to a loss of $1.34 per share in the last 60 days. During that time period, the following year?s estimate moved down 24 cents to a loss of 89 cents per share.
 
BROOKFIELD ASST (BAM): Free Stock Analysis Report
 
EMERITUS CORP (ESC): Free Stock Analysis Report
 
SCHAWK INC-CL A (SGK): Free Stock Analysis Report
 
WGL HLDGS INC (WGL): Free Stock Analysis Report
 
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