LUMBER LIQUIDAT (LL) - 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 CQB and LL 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:

Chiquita Brands International, Inc. (CQB) announced third -quarter loss of 14 cents per share on November 2 that lagged analysts? expectations by nearly 139%. Moreover the company saw a 32% drop on a year-over-year basis. For 2010, the Zacks Consensus Estimate stands at a profit of $1.14 per share that dropped 67 cents over the past 60 days as the covering analysts slashed projections. Next year?s estimate moved down 10 cents to $1.65 per share in a span of 30 days.

Lumber Liquidators Holdings, Inc.?s (LL) third-quarter earnings of 15 cents per share, reported on November 9, missed analysts? projections by 53%. The Zacks Consensus Estimate for the full year slipped by a penny to 97 cents per share in the last 30 days as the covering analysts cut forecasts. The following year?s estimate fell 13 cents to $1.29 in the last couple of months.

Here is a synopsis of why NPK and HSNI 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;

National Presto Industries Inc. (NPK) reported a third-quarter profit of $1.92 per share on October 29, which missed analysts expectations by 54 cents. The Zacks Consensus Estimate for December 2010 decreased 58 cents to a profit of $8.99 per share in the last 60 days as the covering analysts revised downward. Next years estimates dipped 55 cents in the same time period to a profit of $9.55 per share.

HSN, Inc. (HSNI) posted third-quarter earnings of 26 cents per share last month, which came in 25% short of the average forecast. Moreover the company?s reports also marked a 14% year-over-year drop. The Zacks Consensus Estimate for 2010 fell a penny to $1.70 per share over the past week as the 5 covering analysts cut back on expectations. Estimate for 2011 dipped a 4 cents $2.04 per share in that time span.
 
CHIQUITA BR INT (CQB): Free Stock Analysis Report
 
HSN INC (HSNI): Free Stock Analysis Report
 
LUMBER LIQUIDAT (LL): Free Stock Analysis Report
 
NATL PRESTO IND (NPK): Free Stock Analysis Report
 
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