For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
Why This 1 Growth Stock Should Be On Your Watchlist
Different than value or momentum investors, growth-oriented investors are concerned with a stock’s future prospects, and the overall financial health and strength of a company. Thus, they’ll want to focus on the Growth Style Score, which analyzes characteristics like projected and historical earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Embraer (ERJ)
Embraer S.A., formerly known as Empresa Brasileira de Aeronautica S.A., was formed by the Brazilian government in 1960 and privatized in 1994. The company, based in Sao Paulo, Brazil, designs, manufactures and sells aircraft and aviation-related structural parts to the world’s commercial aviation, executive aviation and defense markets. It is one of the leaders in the commercial aircraft space, with a seating capacity of up to 150, and delivered more than 8000 jets. The company operates through five segments. These are as follows:
ERJ sits at a Zacks Rank #3 (Hold), holds a Growth Style Score of A, and has a VGM Score of A. Earnings and sales are forecasted to increase 239.5% and 18.9% year-over-year, respectively.
Two analysts revised their earnings estimate upwards in the last 60 days for fiscal 2024. The Zacks Consensus Estimate has increased $0.15 to $1.46 per share. ERJ boasts an average earnings surprise of 73.1%.
Embraer is also cash rich. The company has generated cash flow growth of 8.1%, and is expected to report cash flow expansion of 29.1% in 2024.
With solid fundamentals, a good Zacks Rank, and top-tier Growth and VGM Style Scores, ERJ should be on investors’ short lists.
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Embraer-Empresa Brasileira de Aeronautica (ERJ) : Free Stock Analysis Report
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