Why 58.com Inc. (WUBA) Might Be a Diamond in the Rough
It commonly happens in stock investing that investors miss the chance of buying winning stocks that they knew would stand out. Before they take the plunge, others get to know the hidden potential and enter into these stocks, pushing them out of reach.
So, instead of repenting, spotting the off-the-radar potential winners and immediately investing in them could be a smart decision.
One such company that looks well positioned for a solid gain, but has been overlooked by investors lately, is 58.com Inc. WUBA. This Internet - Software and Services stock has actually seen estimates rise over the past month for the current fiscal year by about 77.8%. But that is not yet reflected in its price, as the stock lost 3.6% over the same time frame.
58.com Inc. Price and Consensus
58.com Inc. Price and Consensus | 58.com Inc. Quote
You should not be concerned about the price remaining muted going forward. This year’s expected earnings growth over the prior year is 157.9%, which should ultimately translate into price appreciation.
And if this isn’t enough, WUBA currently carries a Zacks Rank #2 (Buy) which further underscores the potential for its outperformance (See the performance of Zacks' portfolios and strategies here: About Zacks Performance). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
So if you are looking for a stock flying under-the-radar that is well-equipped to bounce down the road, make sure to consider 58.com Inc. Solid estimate revisions and an impressive Zacks Rank suggest that better days may be ahead for WUBA and that now might be an interesting buying opportunity.
Looking for Ideas with Even Greater Upside?
Most of Zacks’ investment ideas are short-term, directly based on our proven 1 to 3 month indicator. In addition, I invite you to consider our long-term opportunities. These rare trades look to start fast with strong Zacks Ranks, but carry through with double and triple-digit profit potential. Starting now, you can look inside our home run, value, and stocks under $10 portfolios, plus more. Click here for a peek at this private information>>
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
Click for Free 58.com Inc. (WUBA) Stock Analysis Report >>
To read this article on Zacks.com click here.
Zacks Investment Research
