CREE INC (CREE) - 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 SPB and CREE 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:

Spectrum Brands Holdings, Inc. (SPG) reported fourth-quarter earnings per share of 25 cents on December 6, which came in 10 cents shy of the Zacks Consensus Estimate. The full-year average forecast dipped 37 cents to $1.76 per share in the last 60 days as covering analysts lowered expectations. Next year?s estimate dropped 59 cents to $2.86 per share in a span of 30 days.

Cree, Inc.?s (CREE) second -quarter earnings of 47 cents per share, announced on January 18, lagged the Zacks Consensus Estimate by 4 cents. The average forecast for 2011 decreased 37 cents to a profit of $1.78 per share in the last 7 days. During that time period, the following year?s estimate moved down 32 cents to $2.12 per share.

Here is a synopsis of why BKS and LONG 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;

Barnes & Noble, Inc. (BKS) posted a second-quarter loss of 22 cents per share on November 30 while analysts projected a loss of 7 cents. The Zacks Consensus Estimate for the current year is pegged at a loss of 78 cents per share, a decline of 39 cents in the last 60 days. The average forecast for 2012 slid down 21 cents to a loss of 23 cents per share.

eLong, Inc. (LONG) announced a third-quarter profit of a penny per share on November 11, which was missed the Zacks Consensus Estimate my 6 cents. The Zacks Consensus Estimate for the full year decreased 12 cents to 13 cents per share over the past 90 days as the covering analysts reduced expectations.
 
BARNES & NOBLE (BKS): Free Stock Analysis Report
 
CREE INC (CREE): Free Stock Analysis Report
 
ELONG INC-ADR (LONG): Free Stock Analysis Report
 
SPECTRUM BRANDS (SPB): Free Stock Analysis Report
 
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