Zacks Analyst Blog Highlights: Chico FAS, Build-A-Bear, 3D Systems and Apollo Medical
For immediate release
Chicago, IL – July 2, 2021 – Zacks.com announces the list of stocks featured on the Analysts Blog. Every day, Zacks Equity Research analysts discuss the latest news and events impacting stocks and financial markets. Recent actions featured in the blog include: Chico’s FAS, Inc. CHS, Build-A-Bear Workshop, Inc. BBW, 3D Systems Corp. DDD and Apollo Medical Holdings, Inc. AMEH.
Here are highlights from Thursday’s analyst blog:
4 best performing actions of a solid S1 with more room to run
The stock market has always been one of the best bets for a long term investor. Indeed, he has been able to challenge pessimists and their calls for short-term market corrections on a fairly regular basis. It actually stayed bullish for much longer than expected.
For example, when the coronavirus pandemic impacted the economy and dragged the stock market down last year, few thought stocks would regain their mojo anytime soon. Still, stocks didn’t just rebound from last year’s beating, major indexes actually had their best first half this year since 2019. Additionally, the stock market had the second best first half in 23 years.
The S&P 500 has risen 14.4% so far this year, far better than the index’s 7% decline in the first half of last year, and recorded its second best gains in the first half since 1998. On June 30, the broadest Index broke its 34th year-end record and finished five consecutive months in positive territory.
The Dow Jones, meanwhile, has added 12.7% year-to-date and tech-rich first-half Nasdaq yields have also been impressive, up 12.5%. The Nasdaq, in fact, broke its 19th record at the end of the year. In total, all three primary indices posted double-digit gains in the first half, with returns quite close to each other.
Investors have actually continued to buy stocks in hopes of an economic recovery this year. The increase in restrictions caused by the coronaviruses has raised hopes that the economy will recover from the damage caused by the virus last year and that business activities will gain traction. By the way, several companies have started to ramp up production as they become more optimistic about economic growth in the near future, and orders for non-military capital goods have improved significantly.
Quoting a WallStreet Journal article, the Commerce Department said that non-residential fixed investment, known to be an indicator of business spending, improved at a seasonally adjusted rate of 11.7% in the first quarter. Business spending also improved in the third and fourth quarters of last year after taking a nosedive during the lockdown caused by the pandemic. At the same time, consumer spending is currently increasing, thanks to a host of stimulus measures taken by the government to strengthen their financial situation.
Speaking of consumers, their level of confidence has improved in recent times, with the U.S. Consumer Confidence Index hitting its highest level in nearly a year and a half last month, according to the Conference Board, citing a Reuters article. Consumer confidence improved on optimism about the recovery in the labor market and improving economic conditions.
Meanwhile, the economic recovery has raised concerns about higher inflation, a potential drag on the bullish movement of the stock market. However, the Fed has assured that the rise in inflation will be temporary. Once the gap between supply and demand is resolved, inflation will be brought under control.
Nonetheless, the improved vaccination pace not only fueled growth in the first half of the year, but also allayed concerns about new waves of the deadly virus hampering such growth in the second half of the year. Quoting a CNBC Article, nearly 60% of adult US citizens have already received a COVID-19 vaccine, helping the economy operate at full scale and at a rapid pace, prompting many analysts to raise the price targets of major indices for the second semester 2021.
Thus, it is imperative that savvy investors place their bets on stocks that actually benefited from the uptrend in the first half of the year and are expected to continue to do so for the rest of the year and beyond. We have selected four of these stocks that are currently ranked Zacks # 1 (strong buy) or 2 (buy). You can see The full list of today’s Zacks # 1 Rank stocks here.
The SAF of Chico operates as an omnichannel specialty retailer of women’s accessories. The company currently has a Zacks Rank # 2. Zacks’ consensus estimate for current year earnings has risen 46.9% in the past 60 days. The company’s expected profit growth rate for the current year and next year is 94.5% and 329.4% respectively. The title has already gained nearly 295% since the start of the year.
Build-A-Bear Workshop operates as a multi-channel retailer of stuffed animals and related products. The company currently has a Zacks Rank # 2. Zacks’ consensus estimate for current year earnings has risen 181.8% in the past 60 days. The company’s expected profit growth rate for the current year and next year is 190.3% and 32.3% respectively. The title has already gained 289.2% since the start of the year.
3d systems provides 3D printing and digital manufacturing solutions. The company currently has a Zacks Rank # 2. Zacks’ consensus estimate for current year earnings has risen 48% in the past 60 days. The company’s expected profit growth rate for the current year and next year is 436.4% and 10.8% respectively. The stock has already gained 266.4% so far this year.
Apollo Medical Fund is a technology-driven, physician-centric healthcare management company. The company currently has a Zacks Rank # 1. Zacks’ consensus estimate for current year earnings has risen 20.8% in the past 60 days. The company’s expected profit growth rate for the current year and next year is 26.7% and 24.2% respectively. The stock has already gained 241.4% so far this year.
Zacks names “best single choice to overtake”
Among thousands of stocks, 5 Zacks experts each chose their favorite to skyrocket + 100% or more in the coming months. Of these 5, research director Sheraz Mian chooses one to have the most explosive advantage of all.
You’ve known this company from its past glory days, but few would expect it to be ready for a monster turnaround. Fresh out of a successful repositioning and flush with celebrity mentions, it could rival or overtake other recent Zacks stocks which are expected to double as Boston Beer Company which has climbed + 143.0% in just over 9 months. and Nvidia which exploded + 175.9% in a year.
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