6 Best Stocks Of A 6-Year Bull Run

Raging past the debt crisis, government shutdown, the Middle Eastern conflict, geopolitical tensions in Ukraine, Eurozone weakness, oil price slide and a global slowdown, the U.S. stock market has successfully completed a six-year bull run.

In fact, the S&P 500 (SPY) index more than tripled from the bear-market bottom of 676.53 on March 9, 2009. This is the longest bull run since the 1940s. The strong rally was mainly fueled by the Fed stimulus measures and the resultant lower interest rates, along with a strengthening domestic economy.

As the bull market enters its seventh year, a bright outlook suggests that this run is not ending soon. This is especially true as the U.S. is on a strong growth path and expected to drive growth globally this year. Among the global economies, the U.S. is the only country that saw its growth projection moving northward. As per IMF, the country will likely grow 3.6% in 2015 and 3.3% in the next versus its previous projections of 3.1% and 3%, respectively.  

Stepped-up economic activities, rising business and consumer confidence, record corporate profits, recovering housing fundamentals and continued job creation are continuously injecting optimism into the economy. Notably, the world’s largest economy recorded the strongest annual job growth since the late 1990s over the past 12 months, and the jobless rate dropped to a seven-year low of 5.5% in February from a high of 10% in 2009.

With the economy growing and stock market soaring, there have been winners in every corner of the space with most of the stocks generating incredible returns over these six years. However, the Fed is on track to raise interest rates sometime later this year, raising questions about the longevity of the bull market.

Given this cloud of uncertainty, we present six stocks for investors that have performed exceptionally well in the same period and will likely continue their outperformance as the bull market ages. These stocks have a top Zacks Rank #1 (Strong Buy) or #2 (Buy), indicating rising earnings estimates and a strong earnings momentum, which should help it to outperform the market.

Stocks to Consider

Wyndham Worldwide Corporation (WYN - Analyst Report) – Up 3143.9%


Based in Parsippany, NJ, Wyndham Worldwide is one of the world's largest hospitality companies, offering individual consumers and business customers a broad array of hospitality products and services across accommodation alternatives and price ranges, through its premier portfolio of 55 world-renowned brands. Some of these include Wyndham Hotels and Resorts, Ramada, Days Inn, Super 8, Wyndham Rewards, RCI, Landal GreenParks, English Country Cottages, Novasol, Wyndham Vacation Resorts and WorldMark by Wyndham.

The company has seen a positive earnings estimate revision of 1.1% for the current year over the past 60 days. The stock jumped from $2.80 as of March 9, 2009 to $90.83 as of March 9, 2015. It has a Zacks Rank #2 and solid industry rank in the top 19%.

Gannett Co. Inc. (GCI - Analyst Report– Up 2012.7%Based in McLean, VA, Gannett is an international media and marketing solutions company publishing daily newspapers in the USA, including USA TODAY, the nation's largest-selling daily. The company also owns more than 400 non-daily publications in the USA and USA WEEKEND, a weekly newspaper magazine.

The earnings estimate for the current year has been revised up by 1.2% over the past 60 days. The stock climbed from $1.65 as of March 9, 2009 to $34.86 as of March 9, 2015. It has a Zacks Rank #2 and solid industry rank in the top 44%.

Harman International Industries Inc. (HAR - Analyst Report– Up 1371.9%
Based in Stamford, CT, Harman International Industries is engaged in the developing, manufacturing and marketing of premier audio, visual, infotainment and enterprise automation solutions for the automotive, consumer and professional markets. Some of the leading brands include AKG, Harman Kardon, Infinity, JBL, Lexicon, Mark Levinson and Revel.

The company has seen solid earnings estimate revision of 11.8% for the current year over the past 60 days. The stock has moved up from $9.01 to $132.62 in the same period, and has a Zacks Rank #1 with the industry rank falling in the top 12%.

Starbucks Corporation (SBUX - Analyst Report– Up 1113.0%
Based in Seattle, WA, Starbucks operates as a roaster, marketer and retailer of specialty coffee worldwide. It offers a wide range of products such as Starbucks, Teavana, Tazo, Seattles Best Coffee, Evolution Fresh, La Boulange, Ethos, Starbucks VIA, Frappuccino, Starbucks Doubleshot, Starbucks Refreshers and Starbucks Discoveries Iced Café Favorites.

There is currently no earnings estimate revision for the current year. Shares of SBUX have gone up from $7.67 to $93.04 over the past six years. The stock has a Zacks Rank #2 and industry rank in the top 25%.

Tractor Supply Company (TSCO - Analyst Report– Up 1111.1%
Based in Brentwood, TN, Tractor Supply Company is the largest operator of rural lifestyle retail stores in the United States. It offers a selection of merchandise including equine, livestock, pet, and small animal products necessary for their health, care, growth, and containment; hardware, truck, towing, and tool products; seasonal products, such as heating products, lawn and garden items, power equipment, gifts, and toys; work/recreational clothing and footwear; and maintenance products for agricultural and rural use.

The earnings estimate for the current year has been revised up by 1.3% over the past 60 days. The stock jumped from $7.05 to $85.38 in the same period and has a Zacks Rank #2 with industry rank in the top 25%.

Apple Inc. (AAPL - Analyst Report– Up 1035.2%

Based in Cupertino, CA, Apple designs, manufactures and markets mobile communication and media devices, personal computers, and portable digital music players. It boasts iconic products and services such as iPhone, iPad, Mac, iPod, Apple TV, a portfolio of consumer and professional software applications, the iOS and Mac OS X operating systems, iCloud, and a range of accessory, service and support offerings.

The company has seen a solid earnings estimate revision of 9.2% for the current year over the past 90 days. AAPL shares have risen from $11.20 to $127.14 in the same period. The stock has a Zacks Rank #2 and falls in the top 44% of the industry rank.

The performance of the above stocks could be summarized in the table below:
 

Bottom Line

With the economy tracking towards full growth and the job market improving steadily, we expect a bullish 2015 and seventh anniversary celebrations next year.

Disclosure: Zacks.com contains statements and ...

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