featured expert Kevin Matras highlights: Aspen Insurance, Assurant, Bio-Reference Labs, Jack in the Box and Methanex featured expert Kevin Matras highlights: Aspen Insurance, Assurant,
               Bio-Reference Labs, Jack in the Box and Methanex

PR Newswire

CHICAGO, Nov. 13, 2013

CHICAGO, Nov. 13, 2013 /PRNewswire/ --Stocks in this week's article include:
Aspen Insurance (AHL – Free Report), Assurant (AIZ – Free Report),
Bio-Reference Labs (BRLI – Free Report), Jack in the Box (JACK – Free Report),
Methanex (MEOH – Free Report). Kevin Matras explains how to calculate a
stock's price target and how to find stocks currently trading below them.


Screen of the Week written by Kevin Matras of Zacks Investment Research:

Regardless of what you think may or may not happen to the market, everyone
would like to have a better understanding of what their stock's potential
price target is. And that's what we're going to talk about today.

You can do this by using either technicals or fundamentals. Today, I'm going
to focus on the fundamentals. And we're going to use the P/E ratio to
calculate it.

Many people use P/E ratios to determine a company's perceived under or
overvaluation. But you can also use the P/E ratio to determine a stock's
upside and downside price targets. The two most common P/E ratios used are the
(1) P/Es using the Trailing 12 months (or 4 quarters) of earnings and (2) P/Es
using the F1 (or Current Fiscal Year) Estimates.

The calculation for the P/E ratio is simply price divided by earnings. For
example: if a stock's price is $30 and its earnings are $1.25, its P/E would
be 24. If that stock's earnings rose to $2.00, the P/E would now be lower at
15. ($30 price / $2.00 earnings = 15 P/E) And the most logical conclusion
would be to see the stock's price rise until its most recent multiple (or P/E
ratio) of 24 was hit again.

Why is this so 'logical'? Because if people had just been willing to pay 24
times earnings, they probably will again if they believe the company's
earnings will continue to improve. And in an environment where P/Es are
increasing, they might be willing to pay even more.

You'll also find that most of the time a stock's P/E ratio using EPS actuals
is higher than its P/E ratio using its forward estimates. That's because of
the uncertainty regarding the projected earnings vs. the certainty of actual
earnings. As the company continues to report (and meet its projections), the
forward P/E ratio typically increases, which means the stock price increases
as the earnings projections are coming to fruition.

And as more optimism grows over future earnings growth, you may see the P/E
ratio grow even more, getting even higher than its previous multiple. So, the
calculation to figure out your stock's price target is…

For the rest of this Screen of the Week article please visit at:

Sign up now for your free trial today and start picking better stocks
immediately. And with the backtesting feature, you can test your ideas to see
how you can improve your trading in both up markets and down markets. Don't
wait for the market to get better before you decide to do better. Start
learning how to be a better trader today:

Disclosure: Officers, directors and/or employees of Zacks Investment Research
may own or have sold short securities and/or hold long and/or short positions
in options that are mentioned in this material. An affiliated investment
advisory firm may own or have sold short securities and/or hold long and/or
short positions in options that are mentioned in this material.

About Screen of the Week created the first and best screening system on the web earning the
distinction as the "#1 site for screening stocks" by Money Magazine. But
powerful screening tools is just the start. That is why Zacks created the
Screen of the Week to highlight profitable stock picking strategies that
investors can actively use. Each week, Zacks Profit from the Pros free email
newsletter shares a new screening strategy. Learn more about it here

About Zacks is a property of Zacks Investment Research, Inc., which was formed
in 1978. The later formation of the Zacks Rank, a proprietary stock picking
system; 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! Click here for your free subscription to Profit from
the Pros.

Get the full Report on AHL –FREE

Get the full Report on AIZ – FREE

Get the full Report on BRLI – FREE

Get the full Report on JACK – FREE

Get the full Report on MEOH – FREE

Follow us on Twitter:

Join us on Facebook:

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

Contact: Jim Giaquinto


Phone: 312-265-9268


Visit: provides investment resources and informs you of these resources,
which you may choose to use in making your own investment decisions. Zacks is
providing information on this resource to you subject to the Zacks "Terms and
Conditions of Service" disclaimer.

Past performance is no guarantee of future results. Inherent in any investment
is the potential for loss. This material is being provided for informational
purposes only and nothing herein constitutes investment, legal, accounting or
tax advice, or a recommendation to buy, sell or hold a security. No
recommendation or advice is being given as to whether any investment is
suitable for a particular investor. It should not be assumedthat any
investments in securities, companies, sectors or markets identified and
described were or will be profitable. All information is current as of the
date of herein andis subject to change without notice. Any views or opinions
expressed may not reflect those of the firm as a whole. Zacks Investment
Research does not engage in investment banking, market making or asset
management activities of any securities. These returns are from hypothetical
portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced
monthly with zero transaction costs. These are not the returns of actual
portfolios of stocks. The S&P 500 is an unmanaged index. Visit for information about the performance numbers
displayed in this press release.

SOURCE Zacks Investment Research, Inc.

Press spacebar to pause and continue. Press esc to stop.