CHICAGO, Feb. 13, 2013 /PRNewswire/ -- 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 Dean Foods Company (NYSE:DF), Cousins Properties Inc. (NYSE:CUZ), Ventas Inc. (NYSE:VTR), Host Hotels & Resorts Inc. (NYSE:HST) and Vornado Realty Trust (NYSE:VNO).
(Logo: http://photos.prnewswire.com/prnh/20101027/ZIRLOGO)
Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513
Here are highlights from Tuesday's Analyst Blog:
Will Dean Foods Beat Again?
Dean Foods Company (NYSE:DF) is set to report its fourth quarter 2012 results on Feb 13. Last quarter it posted an approximate +17.9% surprise. Let's see how things are shaping up for this announcement.
Growth Factors in the Past Quarter
Despite a decline of 7.8% in net sales, Dean Foods' adjusted earnings for the last-reported quarter jumped 83% to 33 cents per share. The improvement was an outcome of disciplined expense control on all fronts throughout the organization. The company continues to make headway with its efforts to achieve the lowest cost position in the industry. We believe that the company has benefited from continued focus on cost reduction initiatives across its businesses. Further, as the U.S. economy is showing signs of stabilization, we believe that Dean Foods is well positioned to capitalize on the opportunity.
Earnings Whispers?
Our proven model does not conclusively show that Dean Foods is likely to beat earnings this quarter. That is because a stock needs to have both a positive Earnings ESP (Read: Zacks Earnings ESP: A Better Method) and a Zacks Rank #1, #2 or #3 for this to happen. That is not the case here, owing to the following factors:
Zacks ESP: ESP for Dean Foods is 0.00%. This is because the Most Accurate Estimate stands at 30 cents, which is in line with the Zacks Consensus Estimate.
Zacks #3 Rank (Hold): Dean Foods' Zacks Rank #3 (Hold) lowers the predictive power of ESP because the Rank #3, when combined with a 0.00% ESP makes surprise prediction difficult. We caution against stocks with Zacks #4 and #5 Ranks (Sell rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions momentum.
Cousins Likely to Beat in 4Q
Cousins Properties Inc. (NYSE:CUZ) – a real estate investment trust (REIT) – is expected to beat expectations when it reports fourth-quarter 2012 results after the closing bell on Wednesday, Feb 13.
Why a Likely Positive Surprise?
Positive Zacks ESP:Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is +20.00%. This indicates a likely positive earnings surprise.
Zacks Rank #3 (Hold): This increases the predictive power of its ESP. The combination of its Zacks Rank and Earnings ESP makes us confident of a positive earnings surprise in the to-be-reported quarter.
Stocks with Zacks Ranks of #1, #2 and #3 have significantly higher chances of beating the earnings estimates. The sell rated stocks (#4 and #5) should never be considered going into an earnings announcement.
Key Drivers
Cousins Properties has a diversified portfolio of office, retail, urban residential and single-family communities that are mainly located in the high-growth Sun Belt region. This mitigates the operating risks associated with the economic down cycles involved in operating a single business segment. Benefiting from this, the company has been performing favorably and has delivered an average earnings surprise of 16.34% over the last four quarters.
Also, the company maintained focus on upgrading its overall portfolio with the acquisition of premium assets in the fourth quarter. Notable among these are the acquisition of Post Oak Central in the Galleria submarket of Houston and the purchase of residual 80% interest in Terminus 200 tower in the Buckhead submarket. We expect this to provide Cousins Properties with a relatively steady source of revenue and prove accretive to the fourth-quarter earnings.
Other Stocks to Consider
Ventas Inc. (NYSE: VTR )has an Earnings ESP of +2.06% and carries a Zacks Rank #2 (Buy). The company is scheduled to report its earnings on Feb 15, before the opening bell.
Host Hotels & Resorts Inc. (NYSE:HST) has an Earnings ESP of +5.41% and holds a Zacks Rank of 3. The company is scheduled to report its earnings on Feb 21, before the opening bell.
Vornado Realty Trust (NYSE:VNO)
has an Earnings ESP of +13.04% and carries a Zacks Rank of 3. The company is scheduled to report its earnings on Feb 26, after the closing bell.
Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=5515.
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.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=5517
About Zacks
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leon 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=5518.
Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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
Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
[email protected]
http://www.zacks.com
SOURCE Zacks Investment Research, Inc.
WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?
Newsrooms &
Influencers
Digital Media
Outlets
Journalists
Opted In
Share this article