Zacks' Discount Fundamental Strength strategy highlights Applied Industrial Technologies, Gehl Co., ICT Group, Inc. and La-Z-Boy Inc.CHICAGO -- Combining strong underlying fundamentals with low valuations can lower risk and increase portfolio returns. Zacks' Discounted Fundamental Strength Profit Track strategy has generated double-digit returns for five consecutive years, including a 23.5% gain in 2005. This strategy has continued to handedly beat the S&P 500. Four stocks that currently have both fundamental strength and discounted valuations are Applied Industrial Technologies, Inc. (NYSE NYSE See: New York Stock Exchange :AIT), Gehl Co. (Nasdaq:GEHL), ICT (1) (Information and Communications Technology) An umbrella term for the information technology field. See IT. (2) (International Computers and Tabulators) See ICL. 1. (testing) ICT - In Circuit Test. Group, Inc. (Nasdaq:ICTG ICTG Irish Christmas Tree Growers ICTG Information and Communications Technology Group (SAIC) ) and La-Z-Boy Inc. (NYSE:LZB LZB Landeszentralbank (German: German Bundesbank regional branch) LZB La-Z-Boy, Inc. (stock symbol) LZB Bulgaria Air (ICAO code) LZB Linienzugbeinflussung ). View the entire list of stocks for the Discounted Fundamental Strength Profit Track at http://at.zacks.com/?id=2142. Here are details about four companies currently identified by the Discounted Fundamental Strength Profit Track: Applied Industrial Technologies, Inc. (NYSE:AIT) recently reported fiscal third-quarter earnings of 65 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. , surpassing analysts' expectations of 60 cents and outpacing the year-prior total. Applied Industrial Technologies meets the criteria of this Profit Track with a PEG ratio PEG Ratio See: Prospective earnings growth ratio PEG ratio See price-earnings/growth ratio (PEG ratio). of 0.74 and a price/sales multiple of 0.66. The company's current ratio is 3.07 and its debt/equity level is 0.19. Gehl Co. (Nasdaq:GEHL) recently released first-quarter earnings of 51 cents per share, improving on last year's 47 cents and matching the consensus estimate. The company commented that record first quarter sales and income, as well as improved margins, reflect the successful execution of its compact equipment focused strategy, continued strength in its construction markets and its ongoing efforts to drive cost out of its business. GEHL offers a PEG ratio of 0.81 and a price/sales multiple of 0.88. ICT Group, Inc. (Nasdaq:ICTG) has a current ratio of 2.28 and a debt/equity level of 0.41. The company recently announced first-quarter earnings of 21 cents per share, topping the consensus estimate by 5% and exceeding the previous year's result. The company noted that it is off to a strong start in 2006, driven by demand for its expanding suite of service offerings and global capabilities. La-Z-Boy Inc. (NYSE:LZB) sports a current ratio of 2.67 and a debt/equity level of 0.38. In mid-February, the company posted fiscal third-quarter earnings per share from continuing operations continuing operations Parts of a business that are expected to be maintained as an ongoing segment of an overall business operation. Income and losses from continuing operations are reported separately if any segments have been discontinued during the of 20 cents, which includes an after-tax restructuring charge restructuring charge The expense of reorganizing a company's operations. A restructuring charge is an infrequent expense that generally results from asset writedowns or facility closings. of once cent per share. The result eclipsed the consensus estimate by 40%. LZB stated that overall, it is encouraged with its results for the quarter as these results indicate that the execution of the company's strategy in its two largest business segments, upholstery upholstery, general term for household fittings, hangings, curtains, cushions, and covers. It refers to stuffed, padded, and spring-cushioned furniture, such as chairs and sofas, or to the usually decorative materials and fabrics that cover them. and casegoods, is progressing with the acceleration and speed LZB expected. Results for the fourth quarter will available on June 6, 2006. Discover all the current stocks currently on the Discounted Fundamental Strength Profit Track at: http://at.zacks.com/?id=2143. About Profit Tracks What is a "Profit Track"? Each Profit Track is a successful stock picking strategy with proven results through the Bear Market of 2001-2002 and the Bull run started in 2003. On Zacks.com we have created these nine unique screens to offer investors great strategies to potentially outperform the market in the years ahead. In 2005, the Low Price Stocks strategy was the top performing Profit Track with a return of +51.9% followed by the Recent Price Strength screen with a +35.5% return. To see all nine strategies along with philosophy, past performance, and current stocks, go to http://at.zacks.com/?id=1838 All the Profit Track strategies were created and backtested using the Research Wizard software from Zacks Investment Research Zacks Investment Research A firm that compiles earnings estimates and brokerage firm investment recommendations for thousands of publicly traded firms. . If you like this screening strategy, but want to narrow down the list of stocks and even improve the performance, then you should start a free trial to this powerful stock picking tool. Learn more about the Research Wizard free trial offer and our new special report "Top 10 Stock Screening Strategies" at http://at.zacks.com/?id=2156 About Zacks Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leonard Zacks. As a PhD in mathematics Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. 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In terms of stocks, it is the reinvestment of dividends to purchase additional shares. of all dividends, no transaction costs Transaction Costs Costs incurred when buying or selling securities. These include brokers' commissions and spreads (the difference between the price the dealer paid for a security and the price they can sell it). , and represents the gross returns before management fees. Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation solicitation In criminal law, the act of asking, inducing, or directing someone to commit a crime. The person soliciting another becomes an accomplice to the crime. The term also refers to the act of obtaining bribes, as well as to the crime of a prostitute who offers sexual to buy or sell any security. |
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