CHICAGO, Jan. 13, 2012 /PRNewswire/ -- Zacks.com releases details on a group of stocks that are currently members of the exclusive Zacks #5 Rank List – Stocks to Sell Now. These stocks are currently rated as a Zacks Rank #5 (Strong Sell): VimpelCom Ltd (NYSE: VIP) and Deutsche Telekom AG (OTC: DTEGY). Further, Zacks announced #4 Rankings (Sell) on two other widely held stocks: Randgold Resources Ltd. (Nasdaq: GOLD) and Pan American Silver Corp. (Nasdaq: PAAS).
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To see the full Zacks #5 Rank List - Stocks to Sell Now visit: http://at.zacks.com/?id=92
Since inception in 1988, the S&P 500 has outperformed the Zacks #5 Rank List of Stocks to Sell Now by 80% annually (+2% vs. +10%). While the rest of Wall Street continued to tout stocks during the market declines of the last few years, Zacks told investors which stocks to sell or avoid.
Here is a synopsis of why VIP and DTEGY have a Zacks Rank of #5 (Strong Sell) and should most likely be sold or avoided for the next one to three months. Note that a #5 Strong Sell rating is applied to 5% of all the stocks in the Zacks Rank universe:
VimpelCom Ltd (NYSE: VIP) announced third-quarter profit of 6 cents per share on November 14 that missed analysts' expectations by 76%. The Zacks Consensus Estimate for the current year slid to $1.15 per share from $1.33 per share in the last 60 days as next year's estimate dipped 16 cents per share to $1.36 per share in that time span.
Deutsche Telekom AG (OTC: DTEGY) posted a third-quarter profit of 16 cents per share on November 10, which came in 3 cents wider than the average forecast. The Zacks Consensus Estimate for the full year fell to $1.06 per share from $1.11 per share over the past month. For 2012, analysts expect a profit of $1.10 per share, compared to last month's projection for a profit of $1.14 per share.
Here is a synopsis of why GOLD and PAAS have a Zacks Rank of 4 (Sell) and should also most likely be sold or avoided for the next one to three months. Note that a #4 Sell rating is applied to 15% of all the stocks ranked by Zacks;
Randgold Resources Ltd. (Nasdaq: GOLD) third-quarter profit of $1.32 per share, posted on November 3, lagged analysts' projections by 5.04%. Estimate for current year slid 13 cents per share to $3.85 per share over a month as next year's estimate dipped 11 cents per share to $6.70 per share in that time span.
Pan American Silver Corp. (Nasdaq: PAAS) reported a third-quarter profit of 42 cents per share on November 8 that fell 47.50% short of the Zacks Consensus Estimate. The full-year average forecast is currently $2.65 per share, compared with last two month's projection of $2.75 per share. Next year's forecast dropped to $2.97 per share from $3.30 per share in the same period.
Truly taking advantage of the Zacks Rank requires the understanding of how it works. The free special report; "Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions" is available to provide this insightful background. Download a free copy now to prosper in the years to come at http://at.zacks.com/?id=93
About the Zacks Rank
Since 1988, the Zacks Rank has proven that "Earnings estimate revisions are the most powerful force impacting stock prices." Since inception in 1988, #1 Rank Stocks have generated an average annual return of +28%. During the 2000-2002 bear market, Zacks #1 Rank stocks gained +43.8%, while the S&P 500 tumbled -37.6%. Also note that the Zacks Rank system has just as many Strong Sell recommendations (Rank #5) as Strong Buy recommendations (Rank #1). Since 1988, Zacks Rank #5 stocks have significantly underperformed the S&P 500 (2.8% versus +9.7%). Thus, the Zacks Rank system allows investors to truly manage portfolio trading effectively.
Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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About Zacks
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Len Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=95
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