Markets

The Zacks Analyst Blog Highlights: Alliance Resource Partners, Bellway, Beijing Enterprises Holdings, Signet Jewelers and Santander Consumer USA Holdings

An image of rising and declining prices
Credit: Shutterstock photo

For Immediate Release

Chicago, IL - October 23, 2017 - Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Alliance Resource Partners, L.P. , Bellway plc , Beijing Enterprises Holdings Ltd. , Signet Jewelers Limited and Santander Consumer USA Holdings Inc.

Here are highlights from Friday's Analyst Blog:

Looking for Value in a Bull Market

We are 8.5 years into the current bull market, so every now and then, somebody raises a red flag, and for a few days we are treated to reports about the possibilities of the next recession that could usher in another bear market. But that just doesn't seem to be happening.

For one thing, the unemployment rate is at a 16-year low. For another, personal income and personal disposable income are both on the rise according to the Bureau of Economic Analysis. Rising prices, especially for food and energy did however result in a 0.1% decline in real income in August.

The Michigan Consumer Confidence Index (MCCI) suffered a slight setback in September due to concerns about the economy in the wake of hurricanes Harvey and Irma, dropping from 97.6 in August to a still-high 95.3. "Renewed gains in incomes as well as rising home and equity values have acted to counterbalance the negative impacts from the hurricanes," Richard Curtin, chief economist for the Surveys of Consumers, said in a statement.

The housing market is in a multi-year expansion, partly because of the growing population and partly because millennials are finally settling down. The production side hasn't been able to keep up, resulting in tight inventory and high prices. Hurricanes Harvey and Irma just made matters worse, further pressuring labor and materials supply and making production that much more difficult. While these factors made for a significantly weaker September, PWC principal Scott Volling expects a flatter market here on out with a rebound in the spring 2018 selling season.

As far as industrial production indicators are concerned, the ISM report has PMI, new orders and production indexes at 60.8%, 64.6% and 62.2%, all of which expanded from August to September. A contraction is not normally indicated until the PMI falls under 50%.

Why Value Investing Makes Sense Now

Value investing presupposes that there are companies out there that are capable of better and also taking the necessary steps to get there. So the idea is to build position in these stocks before the rest of the market does, thereby gaining the most from any subsequent upside. Naturally, the strategy is not for the rookie, but folks who have done the necessary research to identify these companies. The higher profits and ability to absorb volatility are the rewards.

Finding these stocks in a bull market can be tricky since valuations are generally on the high side. That's where the Zacks Style Score system comes in handy. Coupled with a Zacks Rank #1 or #2 (buy rated stocks), a value style score of A or B should be able to help you make more money while avoiding value traps (getting into stocks with low valuation but because of limited potential).

5 Value Stocks to Buy Today

Here are some stocks that are worth looking at because they have a Zacks Rank #1 (Strong Buy) (You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here ) and Value Score A.

Alliance Resource Partners, L.P.

Alliance Resource is a diversified producer and marketer of coal to major U.S. utilities and industrial users. It currently operates mining complexes in Illinois, Indiana, Kentucky and Maryland. Some of its mining complexes are underground and one has both surface and underground mines. It produces a diverse range of steam coals with varying sulfur and heat content, which enables it to satisfy a broad range of specifications.

Bellway plc

Bellway plc is engages in the building of residential houses and conducts associated trading activities. The company provides houses which includes detached, semi-detached, terraced properties, as well as town houses, apartments, bungalows and five-bedroom family homes. It operates primarily in England, Wales and Scotland. Bellway plc is headquartered in Newcastle upon Tyne, the United Kingdom.

Beijing Enterprises Holdings Ltd.

Beijing Enterprises Holdings Limited distributes and sells natural gas in the People's Republic of China. Its city gas segment is a natural gas supplier and service provider. It also has other operations. Water and environment-related services include investments, design, construction and operational management as well as production of key equipment and facilities and related overall engineering works.

The toll road business is made up of three major highways, including the Beijing Capital International Airport Expressway, Airport North Freeway and Shenzhen Guanshun Road. The beer business is an important revenue center for Beijing Enterprises Holdings.

The technology business of Beijing Holdings is comprised of a combination of electronic payment and information technology, with a portfolio of investments in solid waste disposal, environment-related services and technology incubation. Beijing Enterprises Holdings Limited is based in Wanchai, Hong Kong.

Signet Jewelers Limited

Signet Jewelers Ltd. is engaged in retailing of jewelry, watches and associated services. The company operates primarily in the United States, the United Kingdom, the Republic of Ireland and the Channel Islands. Signet Jewelers Ltd., formerly known as Signet Group PLC, is based in Hamilton, Bermuda.

Santander Consumer USA Holdings Inc.

Santander Consumer USA Holdings Inc. is a technology-driven consumer finance company which focused on vehicle finance and unsecured consumer lending products. The company's vehicle finance products and services include consumer vehicle loans, vehicle leases and automotive dealer floorplan loans. Santander Consumer USA Holdings Inc. is headquartered in Dallas, Texas.

Wall Street's Next Amazon

Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It's a once-in-a-generation opportunity to invest in pure genius.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Strong Stocks that Should Be in the News

Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has more than doubled the market from 1988 through 2016. Its average gain has been a stellar +25% per year. See these high-potential stocks free >>.

Follow us on Twitter: http://twitter.com/zacksresearch

Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts

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.

Media Contact

Zacks Investment Research

800-767-3771 ext. 9339

support@zacks.com

http://www.zacks.com

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 http://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

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

Stocks

Latest Markets Videos

Zacks

Zacks is the leading investment research firm focusing on stock research, analysis and recommendations. In 1978, our founder discovered the power of earnings estimate revisions to enable profitable investment decisions. Today, that discovery is still the heart of the Zacks Rank. A wealth of resources for individual investors is available at www.zacks.com.

Learn More