


International Bancshares, Hansen Natural, Genomic Health and Gold Fields
CHICAGO--([ BUSINESS WIRE ])--Zacks.com releases details on a group of stocks that are currently members of the exclusive Zacks #5 Rank List a" Stocks to Sell Now. These stocks are currently rated as a Zacks Rank #5 (Strong Sell): International Bancshares Corp. (Nasdaq: [ IBOC ])and Hansen Natural Corp. (Nasdaq: [ HANS ]). Further, Zacks announced #4 Rankings (Sell) on two other widely held stocks: Genomic Health, Inc. (Nasdaq: [ GHDX ]) and Gold Fields Ltd. (NYSE: [ GFI ]). To see the full Zacks #5 Rank List - Stocks to Sell Now visit: [ http://at.zacks.com/?id=92 ]
"Earnings estimate revisions are the most powerful force impacting stock prices."
Since inception in 1988, the S&P 500 has outperformed the Zacks #5 Rank List of Stocks to Sell Now by 80% annually (+2% vs. +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 IBOC and HANS 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:
International Bancshares Corp. (Nasdaq: [ IBOC ]) announced first-quarter earnings per share of 42 cents on May 5, missing the Zacks Consensus Estimate by 11%. The Zacks Consensus Estimate for the full year slipped 18 cents to a profit of $1.46 per share in the last month, which reflected downward revision by the only covering analyst. The following yeara™s forecast declined 8 cents to $1.60 per share during that time.
Hansen Natural Corp. (Nasdaq: [ HANS ]) posted first-quarter earnings of 35 cents per share on May 6, which came in nearly 24% behind analystsa™ projections. Sales dipped 2.5% to $238.1 million. The Zacks Consensus Estimate for the current year decreased 18 cents to a profit of $2.30 per share over the past month as all of the 9 covering analysts reduced forecasts. Next yeara™s estimate fell 25 cents to $2.57 per share in that period.
Here is a synopsis of why GHDX and GFI 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;
Genomic Health, Inc. (Nasdaq: [ GHDX ]) incurred a loss of 7 cents per share in its first quarter, reported last month, lagging analystsa™ expectations for a loss of 3 cents. The Zacks Consensus Estimate for 2010 slid to a profit of 3 cents from 6 cents per share in the last 30 days as 5 analysts out of 13 lowered anticipations. The same time span has seen a drop of 3 cents in the forecast for 2011, which now stands at 35 cents per share.
Gold Fields Ltd.a™s (NYSE: [ GFI ]) third-quarter earnings of 6 cents per share, announced on May 7, missed analystsa™ projections by 70%. In the prior-year period, the company earned 21 cents per share. For 2010, the Zacks Consensus Estimate fell 9 cents to 66 cents per share over the past month as 2 analysts out of 4 revised downward. The average forecast for next year moved down 5 cents to $1.03 per share in the same period.
Truly taking advantage of the Zacks Rank requires the understanding of how it works. The free special report; aZacks Rank Guide: Harnessing the Power of Earnings Estimate Revisionsa is available to provide this insightful background. Download a free copy now to prosper in the years to come at [ http://at.zacks.com/?id=93 ]
About the Zacks Rank
Since 1988, the Zacks Rank has proven that "Earnings estimate revisions are the most powerful force impacting stock prices." Since inception in 1988, #1 Rank Stocks have generated an average annual return of +27%. During the 2000-2002 bear market, Zacks #1 Rank stocks gained +43.8%, while the S&P 500 tumbled -37.6%. Also note that the Zacks Rank system has just as many Strong Sell recommendations (Rank #5) as Strong Buy recommendations (Rank #1). Since 1988, Zacks Rank #5 stocks have significantly underperformed the S&P 500 (-0.9% versus +9%). Thus, the Zacks Rank system allows investors to truly manage portfolio trading effectively.
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