Technology

Top Stock Picks for Week of August 24, 2020

Etsy, Inc. ETSY, offers e-commerce services providing online and offline marketplaces to buy and sell goods. It’s best thought of as an e-commerce craft fair that allows individuals and small businesses to sell everything from clothing to art and home décor. The firm’s niche e-commerce platform was growing steadily, and then the coronavirus helped send it to the stratosphere. ETSY has skyrocketed by triple digits since the market’s lows. Etsy’s annual sales climbed by 36% in both 2019 and 2018, with its Q1 FY20 revenue up 35%. Then its second quarter revenue soared 137%. Etsy’s strong earnings revisions help it earn a Zacks Rank #1 (Strong Buy) currently and our estimates call for its Q3 revenue to jump by triple digits with Q4 projected to come higher by double digits. As of this writing, Etsy’s adjusted earnings are expected to climb 375% in Q3 and 104% in Q4.


D.R. Horton, Inc. DHI, is one of the leading national homebuilders, primarily engaged in the construction and sale of single-family houses both in the entry-level and move-up markets.  D.R. Horton’s shares have outperformed the industry so far this year. The trend is expected to continue, courtesy of its impressive third-quarter fiscal 2020 performance. Furthermore, higher gross margin, improved SG&A leverage, along with a solid Q4 guidance  given improving housing market fundamentals are encouraging. The company is well positioned for fiscal 2020 and 2021, courtesy of industry-leading market share, well-stocked supply of land, lots and homes, affordable product offerings, along with a solid balance sheet. Earnings estimates for fiscal 2020 have gained nicely over the past 30 days, reflecting analysts' optimism over its prospects.

Just Released: Zacks’ 7 Best Stocks for Today

Experts extracted 7 stocks from the list of 220 Zacks Rank #1 Strong Buys that has beaten the market more than 2X over with a stunning average gain of +24.3% per year.

These 7 were selected because of their superior potential for immediate breakout.

See these time-sensitive tickers now >>


Click to get this free report


D.R. Horton, Inc. (DHI): Free Stock Analysis Report

Etsy, Inc. (ETSY): Free Stock Analysis 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.

Latest Technology 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