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Investar (ISTR) came out with a quarterly loss of $1.06 per share versus the Zacks Consensus Estimate of a loss of $1.07. This compares to earnings of $0.35 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of 0.93%. A quarter ago, it was expected that this holding company for Investar Bank would post earnings of $0.57 per share when it actually produced earnings of $0.53, delivering a surprise of -7.02%.

Over the last four quarters, the company has surpassed consensus EPS estimates three times.

Investar, which belongs to the Zacks Banks – Southeast industry, posted revenues of $25.46 million for the quarter ended September 2021, surpassing the Zacks Consensus Estimate by 3.67%. This compares to year-ago revenues of $22.11 million. The company has topped consensus revenue estimates four times over the last four quarters.

The sustainability of the stock’s immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management’s commentary on the earnings call.

Investar shares have added about 12.9% since the beginning of the year versus the S&P 500’s gain of 20.8%.

What’s Next for Investar?

While Investar has underperformed the market so far this year, the question that comes to investors’ minds is: what’s next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company’s earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Investar was unfavorable. While the magnitude and direction of estimate revisions could change following the company’s just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $0.55 on $23.66 million in revenues for the coming quarter and $0.51 on $94.31 million in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks – Southeast is currently in the top 31% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Infrastructure Stock Boom to Sweep America

A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.

The only question is “Will you get into the right stocks early when their growth potential is greatest?”

Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.

Download FREE: How to Profit from Trillions on Spending for Infrastructure >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Investar Holding Corporation (ISTR): Free Stock Analysis Report
 
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Zacks Investment Research

You’re reading Entrepreneur United States, an international franchise of Entrepreneur Media. This story originally appeared on Zacks

• (1:15) – China’s Regulatory Crack Down On Internet and Ecommerce
• (6:10) – What Is The Growth Potential For Chinese Technology Giants?
• (11:30) – The Next Frontier Internet & Ecommerce ETF: FMQQ
• (19:00) – How Do These ETFs Fit Into An Investors Portfolio?
•                 Podcast@Zacks.com

 

In this episode of ETF Spotlight, I speak with Kevin T. Carter, Founder & Chief Investment Officer of EMQQ and FMQQ ETFs. We discuss explosive growth of the internet and e-commerce in China and other emerging markets.

The Emerging Markets Internet & Ecommerce ETF EMQQ is the best performing EM ETF. It has significantly beaten the most popular product in the space–the Vanguard FTSE Emerging Markets ETF VWO.

Tencent TCEHY, Alibaba BABA and JD.com JD are among its top holdings.  These Chinese tech giants have taken a beating this year as Beijing has toughened its regulations on sectors ranging from internet, fintech to education and gaming, and introduced new rules about the collection and use of personal data.

Investors continue to pour money into Chinese tech ETFs as they believe these stocks are very attractively valued at these levels. The KraneShares CSI China Internet ETF KWEB has gathered about $6 billion in inflows this year, even though it is down about 35%.

The Next Frontier Internet & Ecommerce ETF FMQQ provides exposure to the non-Chinese companies that are in EMQQ. These companies are leading the fast-growing e-commerce and internet sector in emerging and frontier markets of Asia, Africa, Latin America, and Eastern Europe.

MercadoLibre MELI, known as Latin America’s Amazon AMZN and Sea Limited SE, the internet and mobile platform giant headquartered in Singapore are among its top holdings.

Tune in to the podcast to learn more about these companies and ETFs.

Make sure to be on the lookout for the next edition of the ETF Spotlight and remember to subscribe! If you have any comments or questions, please email podcast@zacks.com.

Want key ETF info delivered straight to your inbox?

Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.

Get it free >>

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Amazon.com, Inc. (AMZN): Free Stock Analysis Report
 
Sea Limited Sponsored ADR (SE): Free Stock Analysis Report
 
Tencent Holding Ltd. (TCEHY): Free Stock Analysis Report
 
MercadoLibre, Inc. (MELI): Free Stock Analysis Report
 
JD.com, Inc. (JD): Free Stock Analysis Report
 
Alibaba Group Holding Limited (BABA): Free Stock Analysis Report
 
KraneShares CSI China Internet ETF (KWEB): ETF Research Reports
 
Vanguard FTSE Emerging Markets ETF (VWO): ETF Research Reports
 
EMQQ The Emerging Markets Internet & Ecommerce ETF (EMQQ): ETF Research Reports
 
FMQQ The Next Frontier Internet & Ecommerce ETF (FMQQ): ETF Research Reports
 
To read this article on Zacks.com click here.
 
Zacks Investment Research

You’re reading Entrepreneur United States, an international franchise of Entrepreneur Media. This story originally appeared on Zacks

Capstar Financial (CSTR) came out with quarterly earnings of $0.59 per share, beating the Zacks Consensus Estimate of $0.50 per share. This compares to earnings of $0.43 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of 18%. A quarter ago, it was expected that this bank holding company would post earnings of $0.58 per share when it actually produced earnings of $0.55, delivering a surprise of -5.17%.

Over the last four quarters, the company has surpassed consensus EPS estimates three times.

Capstar Financial, which belongs to the Zacks Banks – Southeast industry, posted revenues of $34.62 million for the quarter ended September 2021, surpassing the Zacks Consensus Estimate by 7.48%. This compares to year-ago revenues of $34.46 million. The company has topped consensus revenue estimates two times over the last four quarters.

The sustainability of the stock’s immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management’s commentary on the earnings call.

Capstar Financial shares have added about 47.5% since the beginning of the year versus the S&P 500’s gain of 20.8%.

What’s Next for Capstar Financial?

While Capstar Financial has outperformed the market so far this year, the question that comes to investors’ minds is: what’s next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company’s earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Capstar Financial was mixed. While the magnitude and direction of estimate revisions could change following the company’s just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $0.47 on $31.83 million in revenues for the coming quarter and $2.02 on $129.16 million in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks – Southeast is currently in the top 31% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Infrastructure Stock Boom to Sweep America

A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.

The only question is “Will you get into the right stocks early when their growth potential is greatest?”

Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.

Download FREE: How to Profit from Trillions on Spending for Infrastructure >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Capstar Financial (CSTR): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research

You’re reading Entrepreneur United States, an international franchise of Entrepreneur Media. This story originally appeared on Zacks

Bay Commercial Bank (BCML) came out with quarterly earnings of $0.51 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.27 per share a year ago. These figures are adjusted for non-recurring items.

A quarter ago, it was expected that this company would post earnings of $0.42 per share when it actually produced earnings of $0.49, delivering a surprise of 16.67%.

Over the last four quarters, the company has surpassed consensus EPS estimates two times.

Bay Commercial Bank, which belongs to the Zacks Banks – West industry, posted revenues of $21.75 million for the quarter ended September 2021, surpassing the Zacks Consensus Estimate by 7.67%. This compares to year-ago revenues of $20.83 million. The company has topped consensus revenue estimates two times over the last four quarters.

The sustainability of the stock’s immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management’s commentary on the earnings call.

Bay Commercial Bank shares have added about 21.9% since the beginning of the year versus the S&P 500’s gain of 20.8%.

What’s Next for Bay Commercial Bank?

While Bay Commercial Bank has outperformed the market so far this year, the question that comes to investors’ minds is: what’s next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company’s earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Bay Commercial Bank was favorable. While the magnitude and direction of estimate revisions could change following the company’s just-released earnings report, the current status translates into a Zacks Rank #1 (Strong Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $0.49 on $20.6 million in revenues for the coming quarter and $1.88 on $81.4 million in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks – West is currently in the top 23% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Infrastructure Stock Boom to Sweep America

A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.

The only question is “Will you get into the right stocks early when their growth potential is greatest?”

Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.

Download FREE: How to Profit from Trillions on Spending for Infrastructure >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Bay Commercial Bank (BCML): Free Stock Analysis Report
 
To read this article on Zacks.com click here.

You’re reading Entrepreneur United States, an international franchise of Entrepreneur Media. This story originally appeared on Zacks

TrustCo Bank (TRST) came out with quarterly earnings of $0.87 per share, beating the Zacks Consensus Estimate of $0.72 per share. This compares to earnings of $0.75 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of 20.83%. A quarter ago, it was expected that this holding company for Trustco Bank would post earnings of $0.69 per share when it actually produced earnings of $0.75, delivering a surprise of 8.70%.

Over the last four quarters, the company has surpassed consensus EPS estimates three times.

TrustCo, which belongs to the Zacks Banks – Northeast industry, posted revenues of $44.18 million for the quarter ended September 2021, missing the Zacks Consensus Estimate by 0.49%. This compares to year-ago revenues of $42.51 million. The company has topped consensus revenue estimates two times over the last four quarters.

The sustainability of the stock’s immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management’s commentary on the earnings call.

TrustCo shares have lost about 1.4% since the beginning of the year versus the S&P 500’s gain of 20.8%.

What’s Next for TrustCo?

While TrustCo has underperformed the market so far this year, the question that comes to investors’ minds is: what’s next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company’s earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for TrustCo was mixed. While the magnitude and direction of estimate revisions could change following the company’s just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $0.71 on $44.33 million in revenues for the coming quarter and $2.90 on $178.1 million in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks – Northeast is currently in the top 28% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Infrastructure Stock Boom to Sweep America

A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.

The only question is “Will you get into the right stocks early when their growth potential is greatest?”

Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.

Download FREE: How to Profit from Trillions on Spending for Infrastructure >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
TrustCo Bank Corp NY (TRST): Free Stock Analysis Report
 
To read this article on Zacks.com click here.

You’re reading Entrepreneur United States, an international franchise of Entrepreneur Media. This story originally appeared on Zacks

Friday, October 15, 2021

The Zacks Research Daily presents the best research output of our analyst team. Today’s Research Daily features new research reports on 12 major stocks, including Edwards Lifesciences Corp. (EW), DexCom, Inc. (DXCM), and Twitter, Inc. (TWTR). These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.

You can see all of today’s research reports here >>>

Shares of Edwards Lifesciences have outperformed the Zacks Medical Instruments industry in the year to date period (+19.1% vs. +6.5%). The Zacks analyst believes that the huge untapped potential in emerging markets will act as a positive catalyst for Edwards Lifesciences. The company is consolidating its foothold across all its operating businesses through strong pipeline development.

Strong adoption of the SAPIEN 3 Ultra platform and the PASCAL system across Europe is another positive. The solid demand for the company’s products used in high-risk surgeries is impressive too. Stiff competition in the THV business, however, continues to ail the company. Persistent forex woes are also a concern.

(You can read the full research report on Edwards Lifesciences here >>>)

DexCom shares have gained +35.7% over the past year against the Zacks Medical Instruments industry’s gain of +6.6%. The Zacks analyst believes that a strong product portfolio, collaborative agreements with several companies and focus on international markets are key catalysts for growth.

DexCom’s Sensor and other revenue arm’s contribution, and domestic and international revenue growth were key catalysts in second-quarter 2021. The company made continued advancements with respect to key strategic objectives and ended the quarter with new patient additions. Intensifying competition, entry of new products, reimbursement risks, supply constraints and working capital problems are some of the major concerns.

(You can read the full research report on DexCom here >>>)

Shares of Twitter have lost -10.9% over the past six months against the Zacks Internet Software industry’s loss of -7%, however, things seem to be improving for the company. The Zacks analyst believes that the company’s initiatives to add features and focus on effectively tackling abuse issues are helping it expand its monetized user base.

Twitter is, however, suffering from stiff competition for ad dollars from the likes of Facebook and Google. Rising investments on international expansion, product innovation and marketing & sales are also expected to hurt profitability in the near term.

(You can read the full research report on Twitter here >>>)

Other noteworthy reports we are featuring today include Cigna Corp. (CI), T. Rowe Price Group, Inc. (TROW) and Restaurant Brands International Inc. (QSR).

Mark Vickery
Senior Editor

Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>>

Infrastructure Stock Boom to Sweep America

A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made.

The only question is “Will you get into the right stocks early when their growth potential is greatest?”

Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.

Download FREE: How to Profit from Trillions on Spending for Infrastructure >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
T. Rowe Price Group, Inc. (TROW): Free Stock Analysis Report
 
Edwards Lifesciences Corporation (EW): Free Stock Analysis Report
 
Cigna Corporation (CI): Free Stock Analysis Report
 
DexCom, Inc. (DXCM): Free Stock Analysis Report
 
Twitter, Inc. (TWTR): Free Stock Analysis Report
 
Restaurant Brands International Inc. (QSR): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research

You’re reading Entrepreneur United States, an international franchise of Entrepreneur Media. This story originally appeared on Zacks

Market participants are having a tough time as the mood on Wall Street seems dull and volatile amid inflationary pressure and the Fed’s tapering concerns.  The recently released minutes from the Federal Open Market Committee’s September meeting have highlighted that the Fed might begin tapering the fiscal stimulus support program from mid-November (according to a CNBC article).

The central bank is expected to roll back the month-end bond purchases by cutting $10 billion out of $80 billion a month in Treasury’s and $5 billion from $40 billion a month in mortgage-backed securities (per a CNBC article). If everything goes well, the Federal Reserve expects to finish off purchases by mid-2022.

Investors seem continuously worried about the soaring inflation levels. Per the latest Labor Department report, the Consumer Price Index in September rose 5.4% year over year compared to the Dow Jones estimate of a 5.3% rise, per a CNBC article. The metric came in at the highest level since January 1991. It also increased 0.4% for the month, surpassing the 0.3% Dow Jones estimate. The soaring food and energy prices might be primarily responsible for the higher inflation levels.

In another disappointing development, Goldman Sachs (GS) slashed its U.S. economic growth prediction. According to a CNBC article, the investment bank expects economic growth to come in at 4% from 4.4% in 2022. It has also revised its 2021 estimate downward to 5.6% from 5.7%. The firm cited various factors like the diminishing fiscal stimulus support from Congress and the slow pace of recovery in consumer spending for its decision.

The latest jobs report for September turned out to be unimpressive as the U.S. economy has added the lowest number of jobs so far this year. Notably, 194,000 positions were added in September, missing the forecast of 500,000. Nonfarm employment has risen 17.4 million since April 2020 but slid 3.3% from its pre-pandemic level in February 2020.

Investors may have to handle certain issues like inflationary pressure, supply-chain challenges, possibilities of the Fed tapering the fiscal stimulus, China’s Evergrande crisis and concerns over a debt-ceiling breach in October. These factors can also keep the stock market volatile.

Why Consider Dividend Aristocrat ETFs?

Dividend aristocrats are blue-chip dividend-paying companies with a long track record of increasing dividend payments year over year. Moreover, dividend aristocrat funds provide investors with dividend growth opportunities in comparison to other products in the space but might not necessarily have the highest yields.

‘Dividend aristocrats’ or ‘dividend growers’ are mostly deemed the smartest way to deal with the market turmoil. The inclination toward dividend investing is rising on account of easing monetary policy on the global front, and the market uncertainty triggered by the pandemic and deceleration in global growth. Demand for these funds is mostly driven by their characteristic of being the major source of consistent income for investors when returns from the equity markets are uncertain.

These products also form a strong portfolio with a higher scope of capital appreciation against simple dividend-paying stocks or those with high yields. As a result, these products deliver a nice combination of annual dividend growth and capital-appreciation opportunity and are mostly beneficial to risk averse long-term investors.

Against this backdrop, let’s take a look at some ETFs that investors can consider:

Vanguard Dividend Appreciation ETF VIG

This is the largest and the most popular ETF in the dividend space with an AUM of $61.55 billion. The fund follows the S&P U.S. Dividend Growers Index. It charges 6 basis points (bps) in annual fees (read: Focus on These ETF Areas to Combat Market Uncertainties).

SPDR S&P Dividend ETF SDY

This fund seeks to provide investment results that before fees and expenses correspond generally to the total return performance of the S&P High Yield Dividend Aristocrats Index. The index screens companies that consistently increased their dividend for at least 20 consecutive years. The fund has an AUM of $19.23 billion. It charges 35 bps in fees per year (read: Market Outlook & ETF Ideas for the Fourth Quarter).

iShares Select Dividend ETF DVY

The fund provides exposure to broad-cap U.S. companies with a consistent history of dividends and tracks the Dow Jones U.S. Select Dividend Index. The fund has an AUM of $18.37 billion. It charges 38 bps in fees per year (as stated in the prospectus).

ProShares S&P 500 Dividend Aristocrats ETF NOBL

This fund seeks investment results before fees and expenses that track the performance of the S&P 500 Dividend Aristocrats Index. It is the only ETF focusing exclusively on the S&P 500 Dividend Aristocrats, which are high-quality companies that not just paid out dividends but also raised the same for at least 25 consecutive years with most doing so for 40 years or more. NOBL amassed $9.36 billion in its asset base. It has an expense ratio of 0.35%.

iShares Core Dividend Growth ETF DGRO

This fund provides exposure to companies boasting a history of sustained dividend growth by tracking the Morningstar US Dividend Growth Index. The fund has an AUM of $20.11 billion. It charges 8 bps in fees per year (read: 5 Winning ETF Ideas for the Fourth Quarter).

5 Stocks Set to Double

Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2021. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

Today, See These 5 Potential Home Runs >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
SPDR S&P Dividend ETF (SDY): ETF Research Reports
 
Vanguard Dividend Appreciation ETF (VIG): ETF Research Reports
 
ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports
 
iShares Select Dividend ETF (DVY): ETF Research Reports
 
iShares Core Dividend Growth ETF (DGRO): ETF Research Reports
 
To read this article on Zacks.com click here.
 
Zacks Investment Research

You’re reading Entrepreneur United States, an international franchise of Entrepreneur Media. This story originally appeared on Zacks

Investors seem worried about the soaring inflation levels that the Fed says is ‘transitory’. According to the Federal Reserve, major part of the inflation has been triggered by the pandemic-driven supply-demand imbalance, which might get resolved in a few months (per a CNBC article).

Going by the latest Labor Department report, the Consumer Price Index in September rose 5.4% year over year compared to the Dow Jones estimate of a 5.3% rise, as mentioned in a CNBC article. The metric came in at the highest level since January 1991. It also increased 0.4% for the month, surpassing the 0.3% Dow Jones estimate. The soaring food and energy prices might be primarily responsible for the higher inflation levels.

Studying the inflation data, Seema Shah, chief investment strategist at Principal Global Investors, has commented that “Today’s number shouldn’t move the needle for the Fed. Inflation has already surpassed its goal and, if anything, the higher-than-expected September CPI just reinforces the need to start tapering. November tapering, here we come.” This was mentioned in a CNBC article.

The International Monetary Fund has also asked the Federal Reserves and its peers across the globe to prepare for a backup plan if the inflation levels remain persistently high, per a CNBC article. Thus, investors are now getting mentally prepared for the interest rate hikes to happen sooner than expected or the Fed’s move to taper the bond purchases.

Gold ETFs to Hedge Inflation

Considering the current scenario, gold prices have been rising. The inflationary backdrop in the United States is favorable for gold as the metal is viewed as a hedge against inflation. Moreover, rising inflation often lowers the value of the concerned currency. If the greenback remains subdued, gold will gain some glitter back. The yellow metal recently delivered its biggest rally in seven months as investors remained worried about high inflation levels and the possibilities of decreasing stimulus. Going on, the 10-year Treasuries yield also declined after an initial rise post the data released on Oct 13, raising demand for the non-interest-bearing bullion, per a Bloomberg article.

In this regard, John Feeney, business development manager at Sydney-based bullion dealer Guardian Gold Australia, has said that “Gold might actually start catching a strong bid if high inflation persists, which is a big switch from earlier in the year where taper fears dominated inflation fears. Historically, gold tends to perform very well in inflationary environments, so it makes sense for the market to turn bullish if inflation continues to beat,” according to a Bloomberg article.

Gold ETFs mostly move in tandem with gold prices. The SPDR Gold Shares GLD, iShares Gold Trust IAU, SPDR Gold MiniShares Trust GLDM and GraniteShares Gold Trust BAR are some of the popular ETFs. These funds carry a Zacks ETF Rank #3 (Hold). Below we have discussed these in detail:

GLD

This is the largest and most popular ETF in the gold space, with AUM of $55.66 billion and an average three-month trading volume of 7.3 million shares. The fund reflects the performance of the price of gold bullion, less the Trust’s expenses. At launch, each share of this ETF represented about 1/10th of an ounce of gold. The expense ratio is 0.40% (read: September’s Weak History Turning True: 5 ETF Buying Zones).

IAU

This ETF offers exposure to the day-to-day movement of the price of gold bullion. It has AUM of $27.98 billion and trades in a solid three-month volume of 8.9 million shares, on average. At launch, each share of this ETF represented about 1/100th of an ounce of gold. The ETF charges 25 basis points (bps) in annual fees.

TIPS ETFs at Rescue

TIPS ETFs offer robust real returns during inflationary periods, unlike its unprotected peers in the fixed-income world. It not only provides shelter from increasing prices but also protects income for the long term. While there are several options in the space to tap the rising consumer prices, we have highlighted the four popular ETFs that could be compelling investments — iShares TIPS Bond ETF TIP, Schwab U.S. TIPS ETF SCHP, Vanguard Short-Term Inflation-Protected Securities ETF VTIP and iShares 0-5 Year TIPS Bond ETF STIP.

TIP

This ETF is the most-popular choice in the TIPS space, with AUM of $34.42 billion and an average three-month trading volume of 3.9 million shares. It tracks the Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index. It charges 19 bps in fees per year (read: Global TIPS ETFs to Play Now).

SCHP

This fund tracks the Bloomberg US Treasury Inflation-Linked Bond Index (Series-L). SCHP is among the cheapest options in the TIPS space, charging just 5 bps in annual fees. It has AUM of $20.41 billion and trades in a solid three-month average volume of about 2.6 million shares.

5 Stocks Set to Double

Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2021. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

Today, See These 5 Potential Home Runs >>

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SPDR Gold Shares (GLD): ETF Research Reports
 
iShares Gold Trust (IAU): ETF Research Reports
 
iShares TIPS Bond ETF (TIP): ETF Research Reports
 
iShares 05 Year TIPS Bond ETF (STIP): ETF Research Reports
 
Vanguard ShortTerm InflationProtected Securities ETF (VTIP): ETF Research Reports
 
Schwab U.S. TIPS ETF (SCHP): ETF Research Reports
 
GraniteShares Gold Trust (BAR): ETF Research Reports
 
SPDR Gold MiniShares Trust (GLDM): ETF Research Reports
 
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Zacks Investment Research

You’re reading Entrepreneur United States, an international franchise of Entrepreneur Media. This story originally appeared on Zacks

Investors seek growth stocks to capitalize on above-average growth in financials that help these securities grab the market’s attention and produce exceptional returns. But finding a great growth stock is not easy at all.

That’s because, these stocks usually carry above-average risk and volatility. In fact, betting on a stock for which the growth story is actually over or nearing its end could lead to significant loss.

However, it’s pretty easy to find cutting-edge growth stocks with the help of the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company’s real growth prospects.

Saia (SAIA) is on the list of such stocks currently recommended by our proprietary system. In addition to a favorable Growth Score, it carries a top Zacks Rank.

Research shows that stocks carrying the best growth features consistently beat the market. And returns are even better for stocks that possess the combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy).

While there are numerous reasons why the stock of this trucking company is a great growth pick right now, we have highlighted three of the most important factors below:

Earnings Growth

Earnings growth is arguably the most important factor, as stocks exhibiting exceptionally surging profit levels tend to attract the attention of most investors. And for growth investors, double-digit earnings growth is definitely preferable, and often an indication of strong prospects (and stock price gains) for the company under consideration.

While the historical EPS growth rate for Saia is 30.3%, investors should actually focus on the projected growth. The company’s EPS is expected to grow 53.6% this year, crushing the industry average, which calls for EPS growth of 51.5%.

Cash Flow Growth

Cash is the lifeblood of any business, but higher-than-average cash flow growth is more beneficial and important for growth-oriented companies than for mature companies. That’s because, high cash accumulation enables these companies to undertake new projects without raising expensive outside funds.

Right now, year-over-year cash flow growth for Saia is 18.2%, which is higher than many of its peers. In fact, the rate compares to the industry average of 6.3%.

While investors should actually consider the current cash flow growth, it’s worth taking a look at the historical rate too for putting the current reading into proper perspective. The company’s annualized cash flow growth rate has been 18.1% over the past 3-5 years versus the industry average of 7.1%.

Promising Earnings Estimate Revisions

Beyond the metrics outlined above, investors should consider the trend in earnings estimate revisions. A positive trend is a plus here. Empirical research shows that there is a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

There have been upward revisions in current-year earnings estimates for Saia. The Zacks Consensus Estimate for the current year has surged 0.3% over the past month.

Bottom Line

Saia has not only earned a Growth Score of A based on a number of factors, including the ones discussed above, but it also carries a Zacks Rank #2 because of the positive earnings estimate revisions.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

This combination indicates that Saia is a potential outperformer and a solid choice for growth investors.

Zacks Names “Single Best Pick to Double”

From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.

You know this company from its past glory days, but few would expect that it’s poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.

Free: See Our Top Stock and 4 Runners Up >>

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Saia, Inc. (SAIA): Free Stock Analysis Report
 
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Zacks Investment Research