Zacks Analyst Blog Features ZipRecruiter, Everi Holdings, Avis Budget, and FactSet Research Systems

For immediate release

Chicago, IL – July 11, 2022 – Zacks.com announces the list of stocks featured in the analyst blog. Every day, Zacks Equity Research analysts discuss the latest news and events impacting stocks and financial markets. Stocks recently featured in the blog include: ZipRecruiter, Inc. ZIP, Everi Holdings Inc. EVRI, Avis Budget Group, Inc. CAR, and FactSet Research Systems Inc. FDS.

Here are highlights from Friday’s analyst blog:

4 stocks to buy on the continued growth of the business services business

People started spending on services again, helping the sector grow despite inflationary pressures. In fact, economic activity in the business services sector in the United States has been growing since the economy began to reopen from the COVID-induced lockdown in 2020.

According to the latest report from the Institute of Supply Management (ISM) Services Report, business activity increased again in June in the United States, reflecting the underlying strength of the economy. Given this situation, the values ​​of business services such as ZipRecruiter, Inc., Everi Holdings Inc., Avis Budget Group, Inc. and FactSet Research Systems Inc. are likely to benefit from it in the short term.

The business services business is growing

According to the latest reading from the ISM, the Services Purchasing Managers Index (PMI) reached 57.1 in June. Although the reading is 0.6% lower than in May, services activity has now increased for 25 consecutive months, reflecting the strength of the economy. A reading of anything above 50 suggests an increase in service activity.

June’s growth once again reflects that despite rising prices shaking people’s confidence, they have been spending on services. Additionally, geopolitical tensions are a growing concern, but this has not impacted service spending.

The business activity index reached a reading of 56.1%, up 1.6% from the reading of 55.9% recorded in May. The supplier deliveries index was 61.9%, up 0.6% from May’s reading of 61.3%.

Additionally, the new orders index contracted to 55.6% in June, down 2% from 57.6% in May. However, new orders jumped for the 25th consecutive month after two months of contraction and an earlier 128-month period of expansion.

The service sector is doing well

More than two-thirds of all economic activity in the United States is in the service sector, and the economy has grown steadily over the past 25 months, indicating that things are looking up. Services activity has now expanded in 147 of the past 149 months.

Due to the COVID-induced shutdown, the economy almost came to a complete halt during the months of March and April 2020. However, since then, the service sector has continued to grow every month.

In recent months, rising costs and interest rates, coupled with labor shortages, have been one of the main sources of concern. At the same time, personal income has increased, allowing people to spend.

Also, at the height of the pandemic, people were spending more on capital goods as they worked and learned from home. However, people have started spending more on services again as the economy continues to recover. This has helped the business services sector.

In addition, restaurants and other leisure venues have started to operate at full capacity, further helping the service sector to expand. So as the economy reopens, service activity will continue to grow.

Our choices

We have selected four business services stocks likely to benefit in the short term. Each of these stocks carries a Zacks rank of No. 1 (strong buy) or 2 (buy). You can see the full list of today’s Zacks #1 Rank stocks here.

ZipRecruiter, Inc. provides employment services. ZIP offers recruiting, hiring, job board, job posting, web application, candidate screening, applicant tracking, and job alert services. ZipRecruiter primarily operates in the United States and the United Kingdom.

ZipRecruiter’s expected profit growth rate for the current year is over 100%. The Zacks consensus estimate for current-year earnings has improved 64.3% over the past 60 days. ZIP has a Zacks rank of #2.

Everi Holdings Inc. is a holding company that operates through subsidiaries, Global Cash Access, Inc. and Multimedia Games Holding Company, Inc. EVRI’s segments include Gaming and Payments.

Everi Holdings’ expected earnings growth rate for the current year is over 100%. The Zacks consensus estimate for current-year earnings has improved 3.1% over the past 60 days. EVRI wears a Zacks rank #2.

Avis Budget Group, Inc. is a leading vehicle rental operator in North America, Europe and Australasia, with an average rental fleet of nearly 650,000 vehicles. CAR is one of the world’s leading providers of mobility solutions through its three most recognized brands: Avis, Budget and Zipcar. Avis Budget Group has licensees in approximately 175 countries worldwide.

Avis Budget Group’s expected profit growth rate for the current year is 74.7%. The Zacks consensus estimate for current-year earnings has improved 20.3% over the past 60 days. CAR sports a No. 1 Zacks rank.

FactSet Research Systems Inc. is a leading provider of integrated financial information, analytical applications and cutting-edge services for the global investment community. FDS offers information for investment professionals such as portfolio managers, wealth managers, research and performance analysts, risk managers, research professionals, investment research professionals, investment bankers, risk and performance analysts, wealth advisers and fixed income professionals through its analytics, services, content and technology.

FactSet Research Systems’ expected earnings growth rate for the current year is 19.8%. The Zacks consensus estimate for current-year earnings has improved 3.2% over the past 60 days. FDS has a #2 Zacks rank.

Why haven’t you watched Zacks best action?

Our top 5 performing strategies swept away the S&P’s impressive +28.8% gain in 2021. Surprisingly, they soared +40.3%, +48.2%, +67.6%, +94.4%, and +95.3%. Today, you can access their live selections at no cost or obligation.

See Free Stocks >>

Media Contact

Zacks Investment Research

800-767-3771 ext. 9339

[email protected]

https://www.zacks.com

Past performance is not indicative of future results. The potential for loss is inherent in any investment. This document is provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold any security. No recommendation or advice is given as to whether any investment is suitable for any particular investor. It should not be assumed that investments in the securities, companies, sectors or markets identified and described have been or will be profitable. All information is current as of the date hereof and is subject to change without notice. The views or opinions expressed may not reflect those of the company as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management of securities. These returns come from hypothetical portfolios composed of stocks with Zacks Rank = 1 that have been rebalanced monthly without transaction fees. These are not the returns of actual stock portfolios. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for more information on the performance figures 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

Avis Budget Group, Inc. (CAR): Free Inventory Analysis Report

FactSet Research Systems Inc. (FDS): Free Stock Analysis Report

ZipRecruiter, Inc. (ZIP): Free Inventory Analysis Report

Everi Holdings Inc. (EVRI): Free Stock Analysis Report

To read this article on Zacks.com, click here.


Source link