Zacks.com featured highlights Dream Finders Homes, Worthington and ePlus
For Immediate Release
Chicago, IL – January 26, 2024 – Stocks in this week’s article are Dream Finders Homes, Inc. DFH, Worthington Enterprises, Inc. WOR and ePlus inc. PLUS.
New Analyst Coverage: 3 Stocks in Focus for Higher Returns
The recent increase in analyst coverage is of great significance for investors navigating the dynamic landscape of investments.
Dream Finders Homes, Inc., Worthington Enterprises, Inc. and ePlus inc. are three stocks that have recently come under the analytical spotlight, signaling potential opportunities for judicious investors.
When analysts initiate coverage on a stock, it is more than a mere endorsement — it is a spotlight on value. Investors are drawn to such stocks, believing that the scrutiny from analysts unveils hidden potential. Analysts, as intermediaries, hold a crucial role with their access to vital information, mitigating the fear of inefficiencies caused by lack of data.
Stocks chosen for coverage are not arbitrary; they are carefully selected, reflecting a positive outlook envisioned by the analysts. Ratings on newly covered stocks often lean more favorably than those on continuously covered stocks, emphasizing the attractiveness of these opportunities.
The impact on stock prices is undeniable. The entry of new analysts typically propels stocks upward, surpassing the effects of a rating upgrade under existing coverage. Positive recommendations such as Buy and Strong Buy trigger substantial price reactions, while Sell recommendations are rarely initiated by analysts.
Investors keen on identifying promising opportunities should turn their attention to stocks gaining increased analyst coverage. This would be a strategic move, as stocks with heightened analyst scrutiny tend to experience more significant price movements. Notably, the average change in broker recommendation holds more weight than a singular recommendation change, providing a more reliable indicator for investors.
The strategy is clear — focus on stocks attracting increased analyst coverage in recent weeks. These stocks not only capture investor attention but also stand to benefit from heightened interest by portfolio managers. In the ever-evolving landscape of investments, leveraging the insights provided by new analyst coverage emerges as a valuable tool for making informed and lucrative investment decisions.
Here are three out of the four stocks that passed the screen:
Dream Finders Homes: This Jacksonville, FL-based homebuilder shares have gained 175.4% over the past year, outperforming the industry’s 56.8% rise.
DFH — a Zacks Rank #1 (Strong Buy) company — has an expected revenue growth rate of 12.2% year over year for 2024. DFH’s earnings per share (EPS) estimates for 2024 have increased to $2.81 from $2.62 over the past 60 days. Earnings surpassed the Zacks Consensus Estimate in three of the trailing four quarters and missed on one occasion, the average being 131.6%. Earnings for 2024 are expected to grow 12.2% year over year.
You can see the complete list of today’s Zacks #1 Rank stocks here.
Worthington Enterprises: Based in Columbus, OH, Worthington operates as an industrial manufacturing company. Shares of WOR have declined 2.7% compared with the industry’s 4.7% decline.
WOR has a Zacks Rank #3 (Hold). The EPS estimates for fiscal 2024 have increased to $5.60 from $5.55 in the past 60 days. The company’s earnings surpassed the Zacks Consensus Estimate in three of the trailing four quarters and missed on one occasion, the average being 22.1%.
ePlus: Based in Herndon, VA, ePlus and its affiliated companies deliver information technology (IT) solutions designed to help organizations enhance their IT infrastructure and streamline supply chain processes, both within the United States and globally. Shares of PLUS have gained 54.2% over the past year, outperforming the industry’s 22.9% rise.
PLUS has a Zacks Rank #3. The EPS estimates for fiscal 2024 indicate 5.2% year-over-year growth. The company’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average being 24.1%.
You can get the rest of the stocks on this list by signing up now for your 2-week free trial to the Research Wizard and start using this screen in your own trading. Further, you can also create your own strategies and test them first before taking the investment plunge.
The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.
Click here to sign up for a free trial to the Research Wizard today.
For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/2215564/new-analyst-coverage-3-stocks-in-focus-for-higher-returns
Follow us on Twitter: https://www.twitter.com/zacksresearch
Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch
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.
Contact: Jim Giaquinto
Company: Zacks.com
Phone: 312-265-9268
Email: pr@zacks.com
Visit: https://www.zacks.com/
Zacks.com 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. www.zacks.com/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 assumed that 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 and is 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 https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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
Worthington Enterprises, Inc. (WOR) : Free Stock Analysis Report
ePlus inc. (PLUS) : Free Stock Analysis Report
Dream Finders Homes, Inc. (DFH) : Free Stock Analysis Report
