For Immediate Release
Chicago, IL – July 24, 2026 – Stocks in this week’s article are AIM ImmunoTech AIM, Hasbro HAS, Fox FOX, Cencora Inc. COR and Intuitive Surgical ISRG.
Bet on 5 Top-Ranked Stocks with Rising P/E Ratios
Investors often opt for the stock-picking approach that involves stocks with a low price-to-earnings (P/E) ratio. This strategy is based on the notion that the lower the P/E ratio is, the higher the stock value. The reasoning behind this is straightforward — when a stock's current market price does not adequately reflect its higher earnings, it suggests potential for growth.
But there is more to this whole P/E story. Because not just low P/E, stocks with a rising P/E can also fetch strong returns. In this regard, investors can bet on the likes of AIM ImmunoTech, Hasbro, Fox, Cencora Inc. and Intuitive Surgical.
Rising P/E: A Useful Tool
The concept is that as earnings rise, so should the price of the stock. As forecasts for expected earnings come in higher, strong demand for the stock should continue to push up its prices. After all, astock's P/E gives an indication of how much investors are ready to shell out per dollar of earnings.
Suppose an investor wants to buy a stock with a P/E ratio of 30. This means that he is willing to shell out $30 for only $1 worth of earnings as he expects earnings of the company to rise at a faster pace in the future owing to strong fundamentals.
So, if the P/E of a stock is rising steadily, it means that investors are assured of its inherent strength and expect some strong positives out of it.
Also, studies have revealed that stocks have seen their P/E ratios jump over 100% from their breakout point in the cycle. So, if you can pick stocks early in their breakout cycle, you can end up seeing considerable gains.
Here are five out of the 62 stocks:
AIM ImmunoTech: The Zacks Rank #2 (Buy) AIM ImmunoTechis an immuno-pharma company. It is focused on the research and development of therapeutics to treat multiple types of cancers and immune-deficiency diseases. You can see the complete list of today's Zacks #1 Rank stocks here.
The average four-quarter earnings surprise of AIM is 52.66%.
Hasbro: The Zacks Rank #2 company designs, manufactures and markets games, toys and licensed products.
The average four-quarter earnings surprise of HAS is 23.60%.
Fox: The Zacks Rank #2 company produces and distributes news, sports and entertainment content.
The average four-quarter earnings surprise of FOX is 38.99%.
Cencora: The Zacks Rank #2 company is one of the largest pharmaceutical distribution and healthcare solutions providers globally.
The average four-quarter earnings surprise of COR is 1.59%.
Intuitive Surgical: The Zacks Rank #2 company designs, manufactures and markets the da Vinci surgical system, Ion endoluminal system and related instruments and accessories.
The average four-quarter earnings surprise of ISRG is 16.53%.
For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/2959033/bet-on-5-top-ranked-stocks-with-rising-pe
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
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Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine. But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use.
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 >>.
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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/performancefor information about the performance numbers displayed in this press release.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>Hasbro, Inc. (HAS) : Free Stock Analysis Report
Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report
Cencora, Inc. (COR) : Free Stock Analysis Report
AIM ImmunoTech Inc. (AIM) : Free Stock Analysis Report
Fox Corporation (FOX) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
