Breaking News

Citigroup Profit Falls 96% on Costs to End Mortgage-Bond Probe
Tweet TWEET

The Zacks Analyst Blog Highlights: Brunswick, Alliance Bernstein, Greenbrier, Sandisk and Endesa - Chile

The Zacks Analyst Blog Highlights: Brunswick, Alliance Bernstein, Greenbrier,
                          Sandisk and Endesa - Chile

PR Newswire

CHICAGO, May 13, 2013

CHICAGO, May 13, 2013 /PRNewswire/ --Zacks.com announces the list of stocks
featured in the Analyst Blog. Every day the Zacks Equity Research analysts
discuss the latest news and events impacting stocks and the financial markets.
Stocks recently featured in the blog include Brunswick Corp. (NYSE:BC),
Alliance Bernstein (NYSE:AB), Greenbrier Companies (GBX), Sandisk
(Nasdaq:SNDK) and Endesa - Chile (NYSE:EOC).

(Logo: http://photos.prnewswire.com/prnh/20101027/ZIRLOGO)

Get the most recent insight from Zacks Equity Research with the free Profit
from the Pros newsletter: http://at.zacks.com/?id=5513

Here are highlights from Friday's Analyst Blog:

Making Sense of Market Strategy

It's been another big month for the stock market. This stock market's positive
feedback loops were on full display in Consumer and Finance stocks.

Stock Prices Slightly Above Fair Value

At 15.4 times this year's conservative earning estimate, stocks look fairly
valued.

Consider the average stock market P/E is 15. Apply that to $113 per share
optimists expect for the S&P 500 in 2013. That computes to fair value at
1695! If you say those earnings projections are high (we would agree), trim
to a conservative $105 per share. That gives S&P 500 fair value of 1575.

Q1 Earnings Reports Shrugged Off

Now, markets looks forward at inflated second half earnings estimates. 

On Tuesday, April 30th, 316 S&P 500 companies had reported Q1 results. Total
earnings for these 316 companies were up +2.6%, with 67% of companies beating
earnings expectations. Revenues are down -2.1%, with only 36% of companies
coming ahead of top-line expectations. The median surprise is a respectable
+3.2% for earnings and a negative -0.4% for revenues.

For Q4-12, S&P 500 companies reported earnings and revenues up +2.2% and +1.5%
y/y, respectively.

Using the Sector-Industry-Company Telescope

Here we list salient May macro themes and some investing tips…

(A) The rise in Q1 U.S. jobs numbers and upward 2013 jobs revisions helped the
stock market hit fresh multi-year highs. In a positive feedback loop, the
personal and home sides of Consumer Discretionary are highest ranked:
Apparel, Media, & Home Furnishing-Appliance ranked at the top of the pack.

Retail in the Consumer Sectors is now at Market Perform: Both Food and
non-Food Retail/Wholesale are here.

At below market were Autos-Tires-Trucks, and Tobacco. The Consumer industries
that showed us the weakest Zacks Ranks had business model issues: Food,
Publishing, and Consumer Electronics-Retail.

Company:Brunswick Corp. (NYSE:BC)

(B) High Zacks Ranked industries from building U.S. momentum in the Finance
Sector focused on the stock market. Investment funds, Investment Banking &
Brokering, Real Estate, and Insurance industries showed up even stronger in
early May versus early April. 

Company: Alliance Bernstein (NYSE:AB)

(C) In marked contrast to Materials and Energy, there is noted building of
strength inside the Industrials sector on a stronger domestic outlook.
Construction-Building Services, Transportation, and Metal Fabricating
industries are very attractive. 

Machinery, Business Products, and Pollution Control struggle the most.

Company: Greenbrier Companies (GBX)

(D) IT looks strong, but with diverging drivers. Semiconductors and Misc-Tech
became the most attractive industries here, with growth in smart phone
Asia-Pacific. Computer Software & Services ranked as a market weight
industry. Telco Hardware, Computer Office, and Electronics fell back to
become underweight Zacks Ranked IT Industries.

Company: Sandisk (Nasdaq:SNDK)

(E) The Utilities Sector, interestingly, got a further upgrade into early May.

Company: Endesa - Chile (NYSE:EOC)

(F) Marked weakness in the international outlook pushed down the Materials
sector. Weakness was apparent in very low Zacks Industry Ranks for Steel and
Metals-Non-ferrous. Chemicals and Paper were weaker too.

(G) Weaker gasoline at the pump prices played out within the Energy Sector.
We saw Oil E&P, Drilling and Oil-Misc. with its Refiners do best in the Zacks
Ranks. They were market weight. There was a Zacks Rank drop in Integrated Oil
Companies and Pipelines to market underweights.

Alternative Energy and Coal industries remain victims of low natural gas
prices.

Want more from Zacks Equity Research? Subscribe to the free Profit from the
Pros newsletter: http://at.zacks.com/?id=5515.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative
analysis to help investors know what stocks to buy and which to sell for the
long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded
stocks. Our analysts are organized by industry which gives them keen insights
to developments that affect company profits and stock performance.
Recommendations and target prices are six-month time horizons.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the
latest analysis from Zacks Equity Research. Subscribe to this free newsletter
today: http://at.zacks.com/?id=5517

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was formed
in 1978 by Leon Zacks. As a PhD from MIT 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. In short, it's your steady flow of
Profitable ideas GUARANTEED to be worth your time! Register for your free
subscription to Profit from the Pros at http://at.zacks.com/?id=5518.

Visit http://www.zacks.com/performance for information about the performance
numbers displayed in this press release.

Follow us on Twitter: http://twitter.com/zacksresearch

Join us on Facebook:
http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts

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.

Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
support@zacks.com
http://www.zacks.com

SOURCE Zacks Investment Research, Inc.

Website: http://www.zacks.com