Zacks Recent Price Strength Strategy Highlights: AAON Inc., Compass Minerals International, Cholestech Corp. and Diversa Corp.CHICAGO -- This stock picking strategy looks for companies trading in the upper range of their 52-week highs that have attractive fundamental attributes. This strategy proves that "trend is your friend" with a +13.9% return versus +2.1% for the S&P 500 in the first five months of 2006. This screen is called the Recent Price Strength Profit Track strategy. Four stocks meeting this screen's exclusive criteria are AAON AAON American Association of Office Nurses Inc. (Nasdaq: AAON), Compass Minerals Compass Minerals International (NYSE: CMP) is the second-leading salt producer in the United States and largest in the United Kingdom. Most of the salt produced is sold for highway de-icing. International, Inc. (NYSE NYSE See: New York Stock Exchange : CMP CMP (cytidine monophosphate): see cytosine. (1) (CMP Media LLC, Manhasset, NY, www.cmp.com) Part of United Business Media, CMP is a leading integrated media company that offers a wide variety of publications and services in the information ), Cholestech Corp. (Nasdaq: CTEC CTEC Course and Teacher Evaluation Council (Northwestern University, Office of the Register) CTEC Certified Technical Education Center CTEC Certified Technical Education Center (Microsoft) ) and Diversa Corp. (Nasdaq: DVSA DVSA Dundas Valley School of Art (California) DVSA Baker Digital Voice Stress Analysis (Baker Group) DVSA Delaware Valley Sprint Association (Philadelphia, PA former club) ). View the entire list of stocks for the Recent Price Strength Profit Track at http://at.zacks.com/?id=1863 Here are details about four companies currently identified by the Recent Price Strength Profit Track: AAON Inc. (Nasdaq: AAON) recently established a new 52-week high. The company also recently reported record earnings and sales. Third-quarter earnings per share totaled 43 cents, which was ahead of last year's 22 cents and above the consensus estimate by almost 23%. The company stated that the increase in earnings resulted primarily from both higher volume and price increases, which provided an improvement in gross margins in the third quarter. AAON has advanced in share price by 20% over the past four weeks. Compass Minerals International, Inc. (NYSE: CMP), a Zacks #1 Rank (Strong Buy) company, recently announced third-quarter earnings of seven 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. , reversing the year-prior loss and topping the consensus estimate by 200%. Compass Minerals International has outpaced analysts' expectations each time over the past five consecutive quarters. CMP has been setting new 52-week highs and has increased by 12% over the past four weeks. Cholestech Corp. (Nasdaq: CTEC) is within reach of its 52-week high and experienced 42% growth over the past four weeks. In late October, the company posted fiscal second-quarter earnings of 15 cents per share, topping the previous year's 11 cents and eclipsing the consensus estimate almost 37%. The company said this past quarter and the first half of fiscal 2007, Cholestech has demonstrated significant operating leverage Operating Leverage A measurement of the degree to which a firm or project relies on fixed rather than variable costs. Notes: The higher the degree of operating leverage, the greater the potential danger from forecasting risk. in addition to double digit Noun 1. double digit - a two-digit integer; from 10 to 99 integer, whole number - any of the natural numbers (positive or negative) or zero; "an integer is a number that is not a fraction" revenue growth. This fact is reflected in the company's improved operating margin Operating Margin A ratio used to measure a company's pricing strategy and operating efficiency. Calculated by: and continued strong cash flow. Diversa Corp. (Nasdaq: DVSA) recently released its report for the for the quarter and nine months ended September 30, 2006. The company commented that it is pleased with the progress it has made on the goals it set for 2006. So far, among other accomplishments, DVSA has delivered on its promise to reduce costs, conserve cash, concentrate on bringing new products to market, and increase penetration of its existing products. Diversa meets the criteria of this Profit Track as its share price has experienced 13% growth over the past four weeks and is currently near its 52-week high. Discover all the current stocks currently on the Recent Price Strength Profit Track at: http://at.zacks.com/?id=1864 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. For the first five months of 2006, the Low Price Stocks strategy was the top performing Profit Track with a return of +22.2% followed by the Discounted Fundamental screen with a +18.6% 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 to compile, analyze, and distribute investment research to both institutional and individual investors. The guiding principle behind Zacks 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 the Profit from the Pros newsletter at http://at.zacks.com/?id=1841 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 and Poor's Noun 1. Standard and Poor's - a broadly based stock market index Standard and Poor's Index . 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. |
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