Are you looking for mid-sized companies that still have room to grow? Interested in gaining exposure to consumer companies? Do you prefer stocks that analysts rate as 'Buy', or better? Looking for ways to dig deeper into a company's profitability? For ideas on where to look, we ran a screen you may be interested in.
EPS growth (earnings per share growth) illustrates the growth of earnings per share over time. EPS growth rates help investors identify stocks that are increasing or decreasing in profitability. This profitability metric is generally a key driver in the price of the stock as it directly correlates to the profitability of the company as a whole.
The Net Margin is a profitability metric that illustrates, by percentage, how much of every dollar earned gets turned into a bottom line profit. This is just one of many profitability metrics used by investors and analysts to better understand what the company is being left with at the end of the day. Generally, a firm that can expand its net profit margins over a period of time will see its stock price rise as well due to the trend of increasing profitability. Net Margin = Net Income/Total Revenue
We first looked for mid-cap consumer stocks. We then looked for companies that analysts rate as "Buy" or "Strong Buy" (mean recommendation < 3). We then looked for businesses that have shown strong bottom line growth over the last year (1-year fiscal EPS growth rate>10%)(Net Margin [TTM] >10%).
Do you think these mid-cap stocks are worth more than the market currently says? Use our screened list as a starting point for your own analysis.
Navistar International Corporation (NYSE:NAV)
|Industry:||Trucks & Other Vehicles|
Navistar International Corporation has a Analysts' Rating of 2.10, an Earnings Per Share Growth Rate of 643.20%, and Net Margin of 11.44%. The short interest was 5.75% as of 05/13/2012. Navistar International Corporation, through its subsidiaries, manufactures and sells commercial and military trucks, buses, diesel engines, recreational vehicles (RVs), and chassis, as well as provides service parts for trucks and trailers. It operates in four segments: Truck, Engine, Parts, and Financial Services. The Truck segment manufactures and distributes trucks and buses for the common carrier, private carrier, government/service, leasing, construction, energy/petroleum, military vehicles, and student and commercial transportation markets under the International and IC brands.
Nu Skin Enterprises Inc. (NYSE:NUS)
Nu Skin Enterprises Inc. has a Analysts' Rating of 1.30; Earnings Per Share Growth Rate of 12.70%; and Net Margin of 10.27%. The short interest was 8.73% as of 05/13/2012. Nu Skin Enterprises, Inc. develops and distributes anti-aging personal care products and nutritional supplements worldwide. The company sells its personal care products under the Nu Skin brand; and nutritional supplements under the Pharmanex brand.
VeriFone Systems, Inc (NYSE:PAY)
VeriFone Systems, Inc has a Analysts' Rating of 2.20; Earnings Per Share Growth Rate of 159.64%; and Net Margin of 17.17%. The short interest was 11.64% as of 05/13/2012. Verifone Systems, Inc. designs, markets, and services electronic payment solutions in North America and internationally. It provides system solutions, including countertop electronic payment systems that accepts magnetic, smart card, contactless/ radio frequency identification(RFID) cards, and near field communication (NFC) enabled mobile phones; secure PIN pads that support credit and debit transactions; and wireless system solutions that support Internet protocol-based code division multiple access, general packet radio service, bluetooth, and wireless fidelity technologies.
Gentex Corp. (NASDAQ:GNTX)
Gentex Corp. has a Analysts' Rating of 2.50; Earnings Per Share Growth Rate of 16.62%; and Net Margin of 15.86%. The short interest was 4.11% as of 05/13/2012. Gentex Corporation designs, develops, manufactures, and markets electro-optical products for the automotive, commercial building, and aircraft industries primarily in the United States, Germany, and Japan. It offers automotive mirrors, including automatic-dimming rear-view mirrors, such as interior auto-dimming mirrors and exterior auto-dimming mirror sub-assemblies; and non-automatic-dimming rearview mirrors with electronic features. The company also provides fire protection products, which include smoke alarms and smoke detectors combined with various models of signaling appliances for office buildings, hotels, motels, military bases, college dormitories, nursing homes, and other commercial establishments; and single-station alarms for commercial and residential applications. In addition, it offers variable dimmable windows to the aircraft manufacturers.
Deckers Outdoor Corp. (NYSE:DECK)
|Industry:||Textile - Apparel Footwear & Accessories|
Deckers Outdoor Corp. has a Analysts' Rating of 2.20; Earnings Per Share Growth Rate of 25.88%; and Net Margin of 13.40%. The short interest was 22.27% as of 05/13/2012. Deckers Outdoor Corporation engages in the design, manufacture, and marketing of footwear and accessories for outdoor activities and casual lifestyle use for men, women and children. The company offers luxury footwear, handbags, apparel, and cold weather accessories under the UGG brand name; open and closed-toe outdoor lifestyle footwear, multi-sport shoes, light hiking shoes, amphibious footwear, and rugged outdoor travel shoes under the Teva brand name; action sport footwear under the Sanuk brand name; high-end casual footwear for men and women under the TSUBO brand name; outdoor performance and lifestyle footwear under the Ahnu brand name; and work footwear under the MOZO brand name. The company sells its products primarily to specialty retailers, department stores, outdoor retailers, sporting goods retailers, shoe stores, and online retailers. Deckers Outdoor Corporation also sells its products directly to end-user consumers through its Websites, call centers, retail concept stores, and retail outlet stores, as well as through retailers in the United States.
Fossil, Inc. (NASDAQ:FOSL)
|Industry:||Recreational Goods, Other|
Fossil, Inc. has a Analysts' Rating of 2.20; Earnings Per Share Growth Rate of 22.20%; and Net Margin of 11.97%. The short interest was 7.00% as of 05/13/2012. Fossil, Inc. designs, develops, markets, and distributes consumer fashion accessories worldwide. It offers watches under its proprietary brands, such as FOSSIL, MICHELE, RELIC, and ZODIAC; and under the licensed brand names, including ADIDAS, ARMANI EXCHANGE, BURBERRY, DIESEL, DKNY, EMPORIO ARMANI, MARC BY MARC JACOBS, and MICHAEL KORS. The company designs, markets, and arranges for the manufacture of watches and accessories on behalf of mass market retailers, companies, and organizations as private label products or as premium and incentive items for use in various corporate events.
*Company profiles were sourced from Finviz.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.