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Stock markets generally recorded losses on Tuesday. S&P 500 closed with a loss of -1.11% on Tuesday, same as NASDAQ, which recorded a -1.57% loss at the close. The daily basis analysis is quite effective to pick profitable stocks for portfolios. One of the most efficient ways of picking these “profitable” stocks is examining daily winners and losers. Here is a list of top gainers and losers from Tuesday, including a fundamental analysis of them (Data obtained from Finviz/Morningstar and is current as of July 26):

Tuesday’s Winners

RadioShack Corp. (NYSE:RSH): RadioShack boomed at the end of the day after saying that it will make an offer to Verizon (NYSE:VZ) wireless services and products. As of the July 26 close, the Texas-based retailer company has a market cap of $1.66 billion. P/E ratio is 9.69, and forward P/E ratio is 8.72. Analysts estimate a 7.88% annualized EPS growth for the next five years. The company has a 4.25% profit margin, whereas it offers a dividend yield of 1.59%.

The stock is trading 35.62% lower than its 52-week high. Target price is $17.27, which indicates about a 16.2% upside movement potential. SMA50 is 13.72%, while SMA 20 is 19.28%. Insider transactions for the last six months have increased by 40.24%. Although debt-to-assets ratio is a little bit unstable, the company is capable enough to overcome that problem. Analysts give a 2.60 recommendation for the company (1=Buy, 5=Sell). Following are the recent dividend payments of RadioShack per share:

Nov 23, 2010

$0.25

Nov 24, 2009

$0.25

Nov 25, 2008

$0.25

Nov 27, 2007

$0.25

Lexmark International Inc. (NYSE:LXK): Lexmark just reported its Q2 results on Tue, Jul 26, 2011. As of July 26, the technology company has a $2.69 billion market cap, a P/E ratio of 8.24, and a forward P/E ratio of 7.7. Analysts expect the company to have an EPS growth of -6.03% in the next 5 years. Profit margin is 7.83%, below the industry average of 12.2%.

Earnings increased by 130.40% this year. The company's debt-to-assets ratio is slightly going down for the last five quarters. SMA50 is 17.29%, and SMA20 is 14. 97%. The stock is trading 29.42% lower than its 52-week high. Target price is $35.64, which indicates about a 5.03% upside movement potential. Insider transactions for the last six months have increased by 34.10%. Although Lexmark is not what it once used to be, it can still beat the market.

Helix Energy Solutions Group, Inc. (NYSE:HLX): Helix Energy announced the company’s current situation during its earnings conference call (Q2 2011) held on Jul, 26. As of the July 26 close, HLX has a market capitalization of $2.20 billion. Although it has a terrible P/E ratio of -26.0, forward P/E ratio is 17.16. Estimated EPS growth for the next five years is 12.00%, which sounds unusual given the -31.06% EPS growth of past 5 years. Profit margin of the company is -6.24%.

Helix did not show an impressive recovery after its doomsday situation in Nov, 2008. Although quarterly earnings growth is 240.23%, this year’s EPS growth is -240.87%. Debt-to assets ratio is slightly going up for the last four quarters. SMA200 is 37.33%, whereas SMA20 and SMA50 ratios are 22.44% and 16.40%, respectively. The stock is trading 6.65 % lower than its 52-week high. ROA is -2.28%, whereas ROE is -6.24%. Operating margin is -2.65%. I would never think about investing in this stock until these indicators-especially P/E ratio and profit margin- are normalized.

Group 1 Automotive Inc. (NYSE:GPI): Group 1 purchased Shamaley Ford and Shamaley Buick-GMC dealerships in El Paso. As of July 26, Group 1 Automotive has a market cap of $1.19 billion. P/E ratio is 19.88, while forward P/E ratio is 12.99. With a profit margin of 1.01%, GPI pays a dividend yield of 0.89%.

Group1 Automotive topped performance expectations for Q2. Earnings increased by 44.41% this year, and 95.99% this quarter. SMA200 is 24.91%, and SMA50 is 23.91%. The stock is trading 1.25% lower than its 52-week high. Insiders have been mostly selling stocks for a while. $1000 invested in GPI one year ago is about $1664 now. Debt-to assets ratio is stable for the last five quarters. Group1 Automotive is a solid profit-maker, and can enter portfolios after a pullback. Following are the recent dividend history:

May 27, 2011

$0.11

Feb 25, 2011

$0.11

Nov 29, 2010

$0.10

Nov 26, 2008

$0.05

Tuesday’s Losers

Patriot Coal Corporation (PCX): Patriot Coal Corporation announced that it will report quarterly earnings next week. Moreover, on Tuesday, the company reported a loss of $12.4 million, which gave a boost to the downfall trend. As of July 26, the company has a market capitalization of $1.92 billion. Forward P/E ratio is 7.1. Analysts expect the company to have an EPS growth of 5.00% in the next five years. Profit margin is -3.15%, while the company has no dividend policy.

Earnings decreased by 135.37% this year, whereas analysts estimate a 289.33% EPS growth for the next year. Patriot Coal is struggling with losses since its huge downfall at the end of 2008. The company reported a negative income this year. EPS growth of this quarter is quite dramatic: -462.45%. Profit margin is under zero for the previous five quarters. SMA200 is - 6.55%, while SMA20 is -13.33%. The stock is trading 31.64% lower than its 52-week high. Insiders have been mostly selling stocks for a while. Target price is $30.38, indicating an about 52.2% increase potential. However, I do not expect Patriot Coal to reach that high soon.

AK Steel Holding Corporation (NYSE:AKS): World's steelmaker titans including AK Steel warned that profits in the second half of this year will be lower than expected. This stems from the slow economic recovery, along with higher raw material costs and lower steel prices. Releasing of reports triggered the collapse of stock. As of July 26, the company owns a $1.41 billion market cap. It shows a trailing P/E ratio of -11.5, and a forward P/E of 7.2. AK Steel had an annualized EPS growth of -12.06% in the last five years. Profit margin in 2010 was -2.01%, while it offered a 1.56% dividend yield.

Slow economic recovery affected steel industry, including AK Steel. Analysts expect the company to have a 42.37% EPS growth next year. Although assets are decreasing, debts are still far from being a threat. P/S is 0.23, whereas earnings increased by 357.56% this quarter. Target price is $19.08, implying a 50.6% increase potential. Moreover, the stock is currently trading 28.95% lower than its 52-week high. Analysts give a 2.60 recommendation for AK Steel (1=Buy, 5=Sell). It seems that the company is in a recovery situation, and it might be a profitable investment for the long-term. Recent dividend history is:

May 11, 2011

$0.05

Feb 9, 2011

$0.05

Nov 9, 2010

$0.05

Aug 11, 2010

$0.05

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Source: 4 Winners and 2 Losers From Tuesday