WILLIAMS COS (WMB) - Profit Tracks

Since inception in 1988, the S&P 500 has outperformed the Zacks #5 Rank List - Stocks to

Sell Now by 80% annually (+2% versus +10%). While the rest of Wall Street continued to

tout stocks during the market declines of the last few years, Zacks told investors which

stocks to sell or avoid.

Here is a synopsis of why PCH and WMB have a Zacks Rank of #5 (Strong Sell) and should

most likely be sold or avoided for the next one to three months. Note that a #5 Strong

Sell rating is applied to 5% of all the stocks in the Zacks Rank universe:

Potlatch Corporation (

t=PCH>PCH

) announced third-quarter earnings of 45 cents per share on October 28 that

missed analysts? expectations by almost 24%. Net earnings reduced by $27,759 million to

$18,080 million. The Zacks Consensus Estimate for the current year moved down 14 cents to

$1.15 per share in the last 60 days as the covering analysts slashed forecasts. Next

year?s estimate slipped 21 cents to $1.28 per share in the same period.

Williams Companies, Inc. (

t=WMB>WMB

) reported a third-quarter profit of 22 cents per share on October 28 which

missed the Zacks Consensus Estimate by a penny. On a year-over-year basis the EPS reduced

by 12% to $ 1.10 per share. The full-year average forecast dropped a penny to $1.15 per

share over the past month as one analyst out of 10 cut back on projections.

Here is a synopsis of why WIRE and CMC have a Zacks Rank of 4 (Sell) and should also most

likely be sold or avoided for the next one to three months. Note that a #4 Sell rating is

applied to 15% of all the stocks ranked by Zacks;

Encore Wire Corporation (

t=WIRE>WIRE

)posted third-quarter earnings of 22cents per share on October 27 that

fell 15% short the average forecast. The Zacks Consensus Estimate for 2010 decreased 8

cents to 68 cents per share in the last 60 days as the covering analysts revised

downward. The following year?s estimate slid 12 cents to $1.12 per share during that

time.

Commercial Metals Company (

t=CMC>CMC

) reported a fourth-quarter profit of 7 cents per share on October 29,

compared with analysts? expectations for a profit of 9 cents. For 2011, the Zacks

Consensus Estimate stands at a profit of 72 cents per share, 48 cents lower than the

forecasts a couple of months back. During that time, next year?s estimate declined by 24

cents to $1.74 per share.

 
COMMERCIAL METL (CMC): Free Stock Analysis Report
 
POTLATCH CORP (PCH): Free Stock Analysis Report
 
ENCORE WIRE CP (WIRE): Free Stock Analysis Report
 
WILLIAMS COS (WMB): Free Stock Analysis Report
 
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