Contents. Introduction 2. American Eagle Outfitters (AEO) 3. Beacon Roofing Supply (BECN) 4. Centene (CNC) 5. Dana Incorporated (DAN) 6

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1 $99 VALUE

2 Contents Introduction 2 American Eagle Outfitters (AEO) 3 Beacon Roofing Supply (BECN) 4 Centene (CNC) 5 Dana Incorporated (DAN) 6 HollyFrontier (HFC) 7 Tailored Brands (TLRD) 8 Winnebago Industries, Inc. (WGO) 9 What to Do Next 10 1

3 Introduction The predictive ability of the Zacks Rank cannot be denied. In fact, since 1988, if you invested in Zacks Rank #1 stocks, you would have averaged a gain of +25% per year. This performance has been examined and attested by Baker Tilly Virchow Krause, LLP,* an independent accounting firm. Now, in this report, you ll receive highlights on 7 stocks from the more than 200 companies that compose the coveted Zacks #1 Rank List. Remember only 5% of all stocks covered by the proprietary Zacks Rank system have the promise and potential to beat the market in the next 30 days like these Strong Buy stocks. Inside this report, you ll discover the company financials, earnings data and analysis of these 7 promising companies. 2

4 American Eagle Outfitters (AEO) American Eagle Outfitters (AEO) is a specialty retailer of casual apparel, accessories, and footwear for men and women between the ages of 16 and 34. The company reported its thirdquarter earnings results on December 6. Total net revenues increased about 2.1% and marked record quarterly sales. Consolidated comps increased 3% an improvement to the 2% comps growth witnessed in the year-ago period. These Q3 results represented the company s 11th consecutive quarter of positive comps. Even more importantly, American Eagle s e-commerce business exhibited impressive expansion. Earnings estimates have been improving on the back of universal revision agreement. Analysts clearly agree that American Eagle s current quarter will be strong, but that sentiment extends into the upcoming fiscal year, which implies that the company s remarkable momentum should continue. 3

5 Beacon Roofing Supply (BECN) Beacon Roofing Supply (BECN) is one of the largest distributors of residential and non-residential roofing materials in the United States and Canada. The company recently reported Q4 17 results where it posted record sales for the second consecutive year. Total sales rose by +9.8% YoY, with all three product lines growing in the quarter. On a year over year basis, residential roofing product sales were up +9.3%, non-residential roofing product sales rose by +5.3%, and complementary product sales improved by +20.7%. As one would expect, analysts have increased their earnings expectations for Q1 18, Q2 18, FY 18 and FY 19 since the earnings report. 4

6 Centene (CNC) Centene (CNC) is one of the largest managed care providers in the US, serving over 12 million people in 14 states. The company held its annual Investor Day on December 15 and several analysts came away increasingly bullish on the stock. At the event, Centene provided a 2018 outlook with adjusted EPS of $5.47 to $5.87, vs a Wall Street consensus $5.50 to $5.55. The company sees 2018 revenue of $60.0 to $60.8 billion, vs the consensus of $54.95 billion. Based on this outlook, as of December 18 the Zacks Consensus EPS for 2018 climbed from $5.49 to $5.62. This has moved Centene to a Zacks #2 Rank, but more upward estimate revisions could be in the pipe. 5

7 Dana Incorporated (DAN) Dana Incorporated (DAN) provides technology driveline, sealing, and thermal-management products. Last quarter, the company reported third-quarter results that beat estimates on both the top and bottom lines. As a result, Dana raised key financial guidance across all of its business units for fiscal Sales are now expected between $7 billion and $7.2 billion, while diluted adjusted EPS should fall in the range of $2.30 and $2.50 per share. For the current year, the company expects earnings to increase over 26%, with revenues rising about 22% in the same time frame. Five analysts have revised their estimates upward in the last 60 days compared to none lower. This bullish earnings outlook is stretching into next year as well. 6

8 HollyFrontier (HFC) HollyFrontier (HFC) is engaged in refining petroleum. It produces and markets gasoline, diesel, jet fuel, asphalt, heavy products and specialty lubricant products. The company is a Zacks Rank #1 (Strong Buy) in an industry that currently ranks in the Top 19% of our Zacks Industry Rank. Over the last thirty days, five analysts have come out and increased their earnings estimates for next year, while six analysts have done so for the current year. The bullish attitude has helped push the Zacks Consensus Estimate for the current year from $1.48 to $2.38 while next year s number has ballooned from $2.09 to $2.88. After a spike took shares up over $30 in August, the stock retraced to its 50-day moving average. From that support, the real action began. Since then, huge momentum to the upside with virtually no retracement, taking the stock up over $50. 7

9 Tailored Brands (TLRD) Tailored Brands (TLRD), formerly known as Men s Wearhouse, is a men s specialty apparel retailer. The company delivered betterthan-expected earnings of $0.75 per share, beating the Zacks Consensus Estimate of $0.54 by 39%. The company has delivered an average positive earnings surprise of 7.7% in the past four quarters. This was the second consecutive quarter of positive comparable sales for the retail segment as a whole despite an unfavorable 70 basis point impact from the hurricanes. After strong results, analysts have raised estimates for the company. Zacks Consensus Estimates for the current and next year are $2.08 per share and $2.14 per share, up from $1.82 and 1.93 respectively, before the results. 8

10 Winnebago Industries, Inc. (WGO) Winnebago Industries, Inc. (WGO) makes recreation vehicles under the Winnebago and Grand Design brands, including motorhomes, travel trailers, or towables, and fifth wheel products. On Dec 20, Winnebago reported fiscal first quarter 2018 results and beat the Zacks Consensus Estimate by 7 cents. This continued an earnings winning streak going back to Revenue jumped 83.5% to $450 million from $245.3 million in the year ago quarter. The Zacks Consensus Estimate for fiscal 2018 has jumped to $3.06 from $2.88 since the earnings report. Fiscal 2019 is looking even better with earnings expected to rise 19.7% to $3.66. Revenue is expected to rise 15.1% this year and another 6.1% next year. 9

11 What to Do Next In addition to the hand-selected picks included in this special report, you can move yourself way ahead of the crowd in any market environment with the following: As part of this free report, you will now receive our free daily e-newsletter, Profit from the Pros. Each morning, Executive Vice President Steve Reitmeister will summarize the market, what it means for investors and what to do next. Plus you get links to articles featuring some of our top stock, ETF and mutual fund recommendations. Be sure to look for it in your inbox before the markets open every day. Now you should bookmark our homepage to take advantage of one of the most complete investment websites around. Go there now: Even better, get all Zacks private buys and sells through our Zacks Ultimate program. Watch our trades and market insights from all of Zacks private portfolios from growth to value to momentum stocks, from insider moves to big earnings surprises, from options to ETFs, even trades EVP Steve Reitmeister makes in his personal account, and much more. This see-everything arrangement is unique: one month, one dollar, not one cent of further obligation. Learn more about the Zacks Ultimate Trial now. 10

12 Copyright 2017 Zacks Investment Research Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks Terms and Conditions of Service disclaimer. *Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research is not a licensed securities dealer, broker or US investment adviser or investment bank. The Zacks #1 Rank Performance covers a period beginning on January 1, 1988 through December 31, 2016 and was examined and attested by Baker Tilly Virchow Krause, LLP, an independent accounting firm. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank # 1 that were rebalanced monthly (see additional details regarding rebalancing below) with zero transaction costs. These are not the returns of actual portfolios of stocks. Zacks Rank #1 stock-rating system returns are computed monthly based on the beginning of the month and end of the month Zacks Rank #1 stock prices plus any dividends received during that particular month. A simple, equally-weighted average return of all Zacks Rank #1 stocks is calculated to determine the monthly return. The monthly returns are then compounded to arrive at the annual return. Only Zacks Rank #1 stocks included in Zacks hypothetical portfolios at the beginning of each month are included in the return calculations. Zack Rank #1 stocks can, and often do, change throughout the month. Certain Zacks Rank #1 stocks for which no month-end price was available, pricing information was not collected, or for certain other reasons have been excluded from these return calculations. The S&P 500 is an unmanaged index. Visit for information about the performance numbers displayed above. 11