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Zacks Buy List Highlights: Abercrombie & Fitch Company, Grainger WW Inc., Alliance Data Systems Corporation, and Informatica Corp.


CHICAGO -- Zacks.com releases another list of stocks that are currently members of the coveted cov·et  
v. cov·et·ed, cov·et·ing, cov·ets

v.tr.
1. To feel blameworthy desire for (that which is another's). See Synonyms at envy.

2. To wish for longingly. See Synonyms at desire.
 Zacks #1 Rank (Strong Buy) List. The #1 Rank stocks highlighted today are Abercrombie & Fitch Company (NYSE NYSE

See: New York Stock Exchange
:ANF ANF antinuclear factor; see antinuclear antibodies (ANA), under antibody.

ANF
abbr.
antinuclear factor



ANF

atrial natriuretic factor.
) and Grainger WW Inc. (NYSE:GWW GWW Gallery Worldwide (website)
GWW Get Well Wishes
). Further, Zacks announced #2 Rankings (Buy) on two other widely held stocks: Alliance Data Systems Corporation (NYSE:ADS) and Informatica Corp. (NASDAQ NASDAQ
 in full National Association of Securities Dealers Automated Quotations

U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on
:INFA INFA International Federation of Aestheticians ). To see the full Zacks #1 Rank (Strong Buy) List, or the rank for any other stock, visit: http://at.zacks.com/?id=88

Stocks ranked #1 (Strong Buy) by Zacks have produced an average annual return of +32.8% since inception in 1988. During the 2000-2002 bear market, Zacks #1 Rank stocks gained 43.8% while the S&P 500 tumbled 37.6%.

Here is a synopsis of why ANF and GWW have a Zacks Rank of 1. Note that a #1 Strong Buy rating is applied to only 5% of all the stocks Zacks ranks:

Abercrombie & Fitch Company (NYSE:ANF) recently released sales figures sales figures nplcifras fpl de ventas  for the month of June. Net sales Net Sales

The amount a seller receives from the buyer after costs associated with the sale are deducted.

Notes:
This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight
 improved 52% year-over-year to $221.6 million from $146.1 million. Comparable store sales increased 38% over the same period last year. Earnings estimates for the year ending January 2006 are above one month ago levels by nine cents or almost 3%. In mid-May, the company posted fiscal first-quarter earnings of 45 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 the consensus estimate by about 7% and outpacing last year's result. ANF will announce financial results for the fiscal second quarter on August 16, 2005.

Grainger WW Inc. (NYSE:GWW) recently reported an earnings all-time, second-quarter high of 89 cents per share. The result topped last year's 72 cents and exceeded the consensus estimate by almost 10%. Based on the strong performance, the company raised the range of its 2005 earnings per share guidance from $3.20 to $3.45 to $3.40 to $3.60. Analysts have current 2005 estimates pegged at $3.49 per share, which is almost 2% ahead of last week's estimates.

Here is a synopsis of why ADS and INFA have a Zacks Rank of 2 (Buy). Note that a #2 Buy rating is applied to 15% of all the stocks ranked by Zacks:

Alliance Data Systems Corporation (NYSE:ADS) recently posted second-quarter earnings of 49 cents per share, improving on last year's 37 cents and jumping ahead of the consensus estimate by about 11%. The company stated that based on its strong performance for the first half of 2005, it is comfortable raising its 2005 full year guidance. Earnings per share estimates were increased to $1.92-$1.95, versus the $1.87-$1.90 stated previously. Analysts were also comfortable issuing a 2005 earnings estimates increase. Current estimates of $1.94 per share are above the seven days ago levels by approximately 2%.

Informatica Corp. (NASDAQ:INFA) recently announced second-quarter pro forma earnings pro forma earnings

Income not necessarily calculated in accordance with generally accepted accounting principles. For example, a company might report pro forma earnings that exclude depreciation expense and nonrecurring expenses such as restructuring costs.
 of nine cents per share, eclipsing last year's four cents and beating the consensus estimate by 12.5%. The company commented that record revenues and record profits demonstrate the exceptional execution discipline of the Informatica team. INFA has been able to either match or top the consensus estimates each time over the past five consecutive quarters.

Truly taking advantage of the Zacks Rank requires the understanding of how it works. The free special report, "Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions," provides an insightful background about this wealth-building tool. Download your free copy of the report now to prosper in the years to come by visiting http://at.zacks.com/?id=93.

About the Zacks Rank

For over 16 years, the Years, The

the seven decades of Eleanor Pargiter’s life. [Br. Lit.: Benét, 1109]

See : Time
 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 +32.8%. 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 underperformed the S&P 500 by 155.5% annually (+4.65% vs. +11.88%). Thus, the Zacks Rank system allows investors to truly manage portfolio trading effectively.

Zacks "Profit from the Pros" e-mail newsletter offers continuous coverage of Zacks #1 Rank stocks and highlights those stocks poised to outperform the market. Subscribe to Verb 1. subscribe to - receive or obtain regularly; "We take the Times every day"
subscribe, take

buy, purchase - obtain by purchase; acquire by means of a financial transaction; "The family purchased a new car"; "The conglomerate acquired a new company";
 this free newsletter today by visiting http://at.zacks.com/?id=90.

The Zacks Rank, and all of its recommendations, is created by Zacks & Co., member NASD NASD

See: National Association of Securities Dealers


NASD

See National Association of Securities Dealers (NASD).
. Zacks.com displays the Zacks Rank with permission from Zacks & Co. on its web site for individual investors.

About Zacks

Zacks.com is a property of Zacks Investment Research Zacks Investment Research

A firm that compiles earnings estimates and brokerage firm investment recommendations for thousands of publicly traded firms.
, Inc., which was formed in 1978 to compile, analyze, and distribute investment research to both institutional and individual investors. The guiding principle behind Zacks work is the belief that investment experts, such as brokerage analysts and investment newsletter writers, have superior knowledge about how to invest successfully. The goal is to unlock these pros' profitable insights for individual investors hard-pressed to find this valuable information in one source. A free subscription to "Profit from the Pros" weekly e-mail newsletter provides the best way to use these experts' insights for more profitable investing. Register for a free subscription to Profit from the Pros http://at.zacks.com/?id=91

Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.

(a) The S&P 500 Index ("S&P 500") is a well-known, unmanaged index of the prices of 500 large-company common stocks selected by Standard & Poor's. The S&P 500 includes the reinvestment Reinvestment

Using dividends, interest and capital gains earned in an investment or mutual fund to purchase additional shares or units, rather than receiving the distributions in cash.

1. 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 to buy or sell any security.
COPYRIGHT 2005 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2005, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Geographic Code:1USA
Date:Jul 26, 2005
Words:1017
Previous Article:Engelhard Reports Second-Quarter Results.
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