For Immediate Release
Chicago, IL – March 15, 2019 – Zacks Equity Research 1-800 Flowers.com FLWS as the Bull of the Day, Anheuser-Busch InBev BUD asthe Bear of the Day. In addition, Zacks Equity Research provides analysis on Digital Turbine, Inc. APPS, Telenav, Inc. TNAV and Glu Mobile Inc. GLUU.
Here is a synopsis of all five stocks:
Bull of the Day:
If you’re at all like me, you use today’s Bull of the Day on two separate occasions. One, for Valentine’s Day, and two, when you do something stupid. For me, the ladder occurs way more than I’d like to admit. Seasonality certainly helps out this Bull but it’s more than just a once-a-year business. If you haven’t figured it out yet I’m talking about Zacks Rank #1 (Strong Buy) 1-800 Flowers.com.
1-800 Flowers.com provides gourmet food and floral gifts for various occasions in the United States. It operates in three segments: Consumer Floral; Gourmet Foods & Gift Baskets; and BloomNet Wire Service. The company offers a range of products, including fresh-cut flowers, floral and fruit arrangements and plants, gifts, popcorn, gourmet foods and gift baskets, cookies, chocolates, candies, wine, and gift-quality fruits, as well as balloons, candles, keepsake gifts, jewelry, and plush stuffed animals.
Obviously, Valentine’s Day is a busy time of year for the company. The industry as a whole has done well recently. The Retail – Mail Order industry ranks in the Top 5% of our Zacks Industry Rank. 1-800 Flowers has such a favorable Zacks Rank because of recent earnings estimate revisions to the upside. Over the last sixty days, three analysts have increased their earnings estimates for the current year. The bullish revisions have pushed up our Zacks Consensus Estimate from 41 cents to 46 cents. That’s still a step back from last year’s number, but growth for next year seems promising. Next year EPS growth is estimated to be 15.94% on revenue growth of 4.35%.
Bear of the Day:
Earnings estimate revisions are a fickle beast. Stocks which were flying high last month could be down in the dumps after a bearish downside revision. But paying attention to these revisions before they show up in the price could help investors avoid potential downfalls. Today’s Bear of the Day is a stock that has been flying high but has seen estimates come down. I’m talking about Zacks Rank #5 (Strong Sell) Anheuser-Busch InBev.
Anheuser-Busch InBev SA/NV, a brewing company, engages in the production, distribution, and sale of beer, alcoholic beverages, and soft drinks worldwide. It offers a portfolio of approximately 500 beer brands, including Budweiser, Corona, and Stella Artois; Beck's, Castle, Castle Lite, Hoegaarden, and Leffe; and Aguila, Antarctica, Bud Light, Brahma, Cass, Chernigivske, Cristal, Harbin, Jupiler, Klinskoye, Michelob Ultra, Modelo Especial, Quilmes, Victoria, Sedrin, Sibirskaya Korona, and Skol.
The reason for the unfavorable Zacks Rank is the series of negative earnings estimate revisions coming from analysts. Over the last thirty days, two analysts have cut their estimates for the current year while one analyst has cut its estimates for next year. The bearish sentiment has dropped our current year Zacks Consensus Estimate from $4.88 to $4.80 while next year’s number has come down from $5.48 to $5.36. Next year’s number still represents earnings growth of 11.56% year-over-year.
3 Tech Stocks Under $10 to Buy Now
At Zacks, we try to avoid labeling stocks as “cheap” or “expensive.” Instead, we opt to look beyond a stock’s face value, and our system puts an emphasis on earnings estimate revisions to find stocks that will hopefully be winners for investors.
With that said, low-priced stocks can still be attractive to investors as they present the chance to take a larger position in a company, which they might not be able to in higher-priced stocks.
When searching for these low-priced stocks, we still look for similar trends in growth, value, and momentum. Then we apply the Zacks Rank to properly analyze the potential that these companies have. We are also aware of the latest sector trends and make sure to cover all of the hottest industries.
Today we’ve highlighted three stocks that fall into the broad “technology” sector. Each of these three stocks is currently trading for less than $10 a share and holds a Zacks Rank #1 (Strong Buy) or #2 (Buy) at the moment.
1. Digital Turbine, Inc.
Prior Close: $3.11 USD
Digital Turbine is coming off a fiscal third quarter that saw it top earnings and revenue estimates. The company operates in our Internet – Software industry and its business tries to connect OEMs, mobile operators, and publishers with advertisers and app developers. APPS’ positive earnings revision activity helps it earn a #1 (Strong Buy) rank.
The Austin, Texas-based company is expected to swing from an adjusted loss of $0.01 per share in the year-ago period to earnings of $0.02 a share in the current quarter, for a 300% expansion. This impressive bottom-line growth is projected to continue in the following quarter and the coming fiscal year. Meanwhile, Digital Turbine’s bottom-line expansion is expected to be supported by 26.7% revenue growth in Q4.
2. Telenav, Inc.
Prior Close: $6.09 USD
Telenav provides connected car and location-based services and saw 1.3 million vehicles equipped with its technology enter the global market last quarter. The company works with companies such as General Motors and Toyota. Investors might also be happy to note that Telenav just recently announced a partnership with Amazon to bring its widely popular Alexa voice assistant technology to Telenav’s navigation system offerings.
TNAV stock has soared 50% in 2019 and the company’s positive, longer-term earnings estimate revision activity helps it earn a Zacks Rank #2 (Buy). Telenav is expected to see its current-quarter earnings surge over 78% on the back of a 269% revenue growth. Meanwhile, the connected car tech firm’s full-year EPS climb is projected to climb nearly 76%, with its top-line expected to soar 101.7% to reach $214.17 million. The company also rocks an “A” grade for Growth and has a P/S ratio of 1.98, which falls below some of its peers.
3. Glu Mobile Inc.
Prior Close: $9.28 USD
Glu Mobile is a global developer and publisher of free-to-play mobile video games, such as MLB Tap Baseball 2018, Deer Hunter, Kim Kardashian Hollywood, and more. The firm saw its 2018 revenue surge 28% to reach $366.6 million as mobile gaming becomes more popular. GLUU stock has climbed 17% to start the year and it has some new games entering beta, including a Disney/Pixar title, that could help the company expand this year.
Glu Mobile’s adjusted current-quarter EPS share figure is projected to climb 67%, based on our current Zacks Consensus Estimate. Meanwhile, the company’s full-year 2019 earnings are projected to skyrocket 230% on the back of 16% revenue growth. The company’s positive earnings estimate revision activity helps it earn a Zacks Rank #2 (Buy) at the moment. GLUU also sports an “A” grade for Growth in our Style Scores system. Plus, investors should remember that mobile gaming is on the rise as part of the broader video game market expansion.
Today's Best Stocks from Zacks
Would you like to see the updated picks from our best market-beating strategies?
From 2017 through 2018, while the S&P 500 gained +15.8%, five of our screens returned +38.0%, +61.3%, +61.6%, +68.1%, and +98.3%.
This outperformance has not just been a recent phenomenon. From 2000 – 2018, while the S&P averaged +4.8% per year, our top strategies averaged up to +56.2% per year.
See their latest picks free >>
Zacks Investment Research
800-767-3771 ext. 9339
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
Digital Turbine, Inc. (APPS) : Free Stock Analysis Report
Anheuser-Busch InBev SA/NV (BUD) : Free Stock Analysis Report
1-800 FLOWERS.COM, Inc. (FLWS) : Free Stock Analysis Report
Glu Mobile Inc. (GLUU) : Free Stock Analysis Report
Telenav, Inc. (TNAV) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research