Two of the three most widely followed indexes ended the week in the red. The Dow Jones Industrial Average and the S&P 500 declined 0.1% and 0.3%, respectively, while the Nasdaq Composite advanced 0.6%.

A slew of economic data released through the week seems to be bringing back recession fears among investors. A decelerating housing market, higher-than-expected PPI, stronger-than-anticipated retail sales, and above all, still-hot inflation have stirred up the hornet’s nest. It is now widely expected that the Fed might resume its monetary policy tightening until there are clearer signs that inflation is cooling down.

The 10-Year U.S Treasury yields are climbing on the back of this, putting further pressure on growth sectors like Consumer Discretionary and Information Technology. All eyes are now on the PCE inflation numbers expected this week and how the Fed reacts to them. The report is rumored to be the central bank’s favorite inflation guideline.

Regardless of market conditions, we, here at Zacks, provide investors with unbiased guidance on how to beat the market.

As usual, Zacks Research guided investors over the past three months with its time-tested methodologies. Given the prevailing market uncertainty, you may want to look at our feats to prepare better for your next action.

Here are some of our key achievements:

Kazia Therapeutics, Oxford Industries Surge Following Zacks Rank Upgrade

Shares of Kazia Therapeutics Limited KZIA have surged 47.6% since it was upgraded to a Zacks Rank #2 (Buy) on December 9.

Another stock, Oxford Industries, Inc. OXM, which was also upgraded to a Zacks Rank #2 on December 8,  has returned 9.6% since then.

Zacks Rank, our short-term rating system, has earnings estimate revisions at its core. Empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

This stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 to Zacks Rank #5 (Strong Sell), has an impressive externally audited track record, with Zacks Rank #1 stocks generating an average annual return of +24.8% since 1988. You can see the complete list of today’s Zacks Rank #1 stocks here >>>

Check Kazia Therapeutics' historical EPS and Sales here>>>

Check Oxford Industries’ historical EPS and Sales here>>>

Zacks Recommendation Upgrade Drives The Swatch Group and Bayerische Motoren Higher 

Shares of The Swatch Group AG SWGAY and Bayerische Motoren Werke Aktiengesellschaft BMWYY have soared 31.3% and 19.8% since their Zacks Recommendation was upgraded to Outperform on December 9 and December 8, respectively.

While the Zacks Rank is our short-term rating system that is most effective over the one- to three-month holding horizon, the Zacks Recommendation aims to predict performance over the next 6 to 12 months. However, just like the Zacks Rank, the foundation for the Zacks Recommendation is trends in earnings estimate revisions.

The Zacks Recommendation classifies stocks into three groups — Outperform, Neutral and Underperform. While these recommendations are determined quantitatively, our analysts have the flexibility to override them for the 1100+ stocks they closely follow based on their better judgment of factors such as valuation, industry conditions and management effectiveness than the quantitative model.

To access our research reports with Zacks Recommendations for the 1100+ stocks we cover, click here>>>

Zacks Focus List Model Portfolio Uber, Ulta Beauty Soar

Shares of Uber Technologies, Inc. UBER, which belongs to the Zacks Focus List, have risen 20.8% over the past 12 weeks. The stock was added to the Focus List on August 16, 2019. Another Focus-List holding, Ulta Beauty, Inc. ULTA, which was added to the portfolio on March 25, 2020, has returned 18.5% over the past 12 weeks.

The Zacks Focus List is a model portfolio of 50 hand-picked stocks that possess the right fundamental ingredients to outperform the market over the next 12 months. These 50 stocks are picked from a long list of stocks with the highest Zacks Rank.

Since its inception on February 1, 1996, the Focus List portfolio has delivered an annualized return of +12.9%.

Unlock all of our powerful research, tools and analysis, including the Focus List, Zacks #1 Rank List, Equity Research Reports, Zacks Earnings ESP Filter, Premium Screener and more, as part of Zacks Premium. Gain full access now >>

Zacks ECAP Stocks Church & Dwight and Tractor Supply Rapidly Advance

Church & Dwight Co., Inc. CHD, a component of our Earnings Certain Admiral Portfolio (ECAP), jumped 6.6% over the past 12 weeks. Tractor Supply Company TSCO followed Church & Dwight with 5.9% returns.

ECAP is a model portfolio of 30 concentrated, ultra-defensive, long-term Buy and Hold stocks.

With little to no turnover and annual rebalance periodicity, the ECAP seeks to minimize capital loss by holding shares of companies whose earnings streams exhibit a proven 20+ year track record of surviving recessionary periods with minimal impact on aggregate earnings growth relative to the overall S&P 500.

The ECAP and many other model portfolios are available as part of Zacks Advisor Tools, a cloud-based solution to access Zacks award-winning stock, mutual fund and ETF research. Click here to schedule a demo.

Zacks ECDP Stocks Medtronics, Illinois Tool Works Outperform Peers

Medtronic plc MDT, which is part of our Earnings Certain Dividend Portfolio (ECDP), has returned 7.3% over the past 12 weeks. Another ECDP stock, Illinois Tool Works Inc. ITW, has climbed 5.1% over the same time frame. Of course, the inclination of investors toward quality dividend stocks to secure an income stream amid the heightened market volatility contributed to this performance.

Check Medtronic's dividend history here>>>

Check Illinois Tool Works' dividend history here>>>

With an extremely low Beta and a history of minimum earnings variability over the last 20+ years, this 25-stock portfolio helps significantly mitigate risk. The ECDP has consistently outperformed the S&P 500 Dividend Aristocrats ETF NOBL.

Click here to access this portfolio on Zacks Advisor Tools.

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Illinois Tool Works Inc. (ITW) : Free Stock Analysis Report

Medtronic PLC (MDT) : Free Stock Analysis Report

Tractor Supply Company (TSCO) : Free Stock Analysis Report

Church & Dwight Co., Inc. (CHD) : Free Stock Analysis Report

Ulta Beauty Inc. (ULTA) : Free Stock Analysis Report

Oxford Industries, Inc. (OXM) : Free Stock Analysis Report

ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports

Swatch Group AG (SWGAY) : Free Stock Analysis Report

Novogen Limited (KZIA) : Free Stock Analysis Report

Uber Technologies, Inc. (UBER) : Free Stock Analysis Report

Bayerische Motoren Werke AG Sponsored ADR (BMWYY) : Free Stock Analysis Report

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