Beat the Market the Zacks Way: CBRE, Acadian, Fastenal in Focus

Last Friday, the three most widely followed benchmark indexes closed the week on a winning note. The Dow Jones Industrial Average, the S&P 500 and the Nasdaq Composite gained 1.7%, 0.9% and 0.8%, respectively.

Markets were buoyed by growing investor optimism that the Fed will deliver an interest rate cut as early as September, driven by signs of easing inflation and weakening labor conditions. The Dow in particular benefited from a one-day surge, hitting its first intraday record high of 2025. Easing fears over Middle East supply disruptions and reduced concerns about fresh U.S. sanctions on Russian oil helped steady commodity markets.

Economic data released through the week delivered mixed signals. Cooling consumer inflation encouraged hopes for an impending Fed rate cut, while a surprise spike in July’s producer prices rattled expectations, tempering enthusiasm. Strong retail sales and manufacturing gains were offset by weakening consumer sentiment and higher inflation expectations, creating a nuanced backdrop that drove market gains but left investors eagerly awaiting Powell's Jackson Hole speech.

Regardless of market conditions, we, here at Zacks, provide investors with unbiased guidance on how to beat the market. 

As usual, Zacks Research guided investors over the past three months with its time-tested methodologies. Given the prevailing market uncertainty, you may want to look at our feats to prepare better for your next action.

Here are some of our key achievements:

Acadian and RF Industries Surge Following Zacks Rank Upgrade

Shares of Acadian Asset Management Inc. AAMI have gained 49.6% (versus the S&P 500’s 8% increase) since it was upgraded to a Zacks Rank #1 (Strong Buy) on June 20.

Another stock, RF Industries, Ltd. RFIL, which was also upgraded to a Zacks Rank #1 on June 20, has returned 40.3% since then.

A hypothetical portfolio of Zacks Rank # 1 (Strong Buy) stocks returned +3.39% in 2025 (through July 7th) vs. +5.19% for the S&P 500 index and +3.63% for the equal-weight version of the index.

This portfolio returned +22.4% in 2024, vs. +28% for the S&P 500 index and +19.9% for the equal-weight version of the S&P 500 index.

This hypothetical portfolio returned +20.65% in 2023 vs. +24.83% for the S&P 500 index and +15% for the equal-weight S&P 500 index.

The Zacks Model Portfolio - consisting of Zacks Rank #1 stocks – has outperformed the S&P index by more than 12 percentage points since 1988 (through June 2^nd, 2025, the Zacks # 1 Rank stocks generated an annualized average return of +23.5% vs. +11% for the S&P 500 index).

You can see the complete list of today’s Zacks Rank #1 stocks here >>>

Check Acadian’s historical EPS and Sales here>>>

Check RF Industries’ historical EPS and Sales here>>>

Zacks Recommendation Upgrades Garrett Motion and Dorian LPG

Shares of Garrett Motion Inc. GTX and Dorian LPG Ltd. LPG have surged 29.4% and 18.8% (versus the S&P 500’s 6% rise), respectively, since their Zacks Recommendation was upgraded to Outperform on June 26.

While the Zacks Rank is our short-term rating system that is most effective over the one- to three-month holding horizon, the Zacks Recommendation aims to predict performance over the next 6 to 12 months. However, just like the Zacks Rank, the foundation for the Zacks Recommendation is trends in earnings estimate revisions.

The Zacks Recommendation classifies stocks into three groups — Outperform, Neutral and Underperform. While these recommendations are determined quantitatively, our analysts have the flexibility to override them for the 1100+ stocks they closely follow based on their better judgment of factors such as valuation, industry conditions and management effectiveness than the quantitative model.

To access our research reports with Zacks Recommendations for the 1100+ stocks we cover, click here>>>

Zacks Focus List Stocks Palantir, CBRE Shoot Up

Shares of Palantir Technologies Inc. PLTR, which belongs to the Zacks Focus List, have gained 36.8% over the past 12 weeks. The stock was added to the Focus List on March 26, 2024. Another Focus-List holding, CBRE Group, Inc. CBRE, which was added to the portfolio on March 13, 2017, has returned 20.8% over the past 12 weeks. The S&P 500 has advanced 8.3% over this period. 

The 50-stock Focus List portfolio returned 8.84% in 2025 (through June 30th, 2025) vs. +6.21% for the S&P 500 index and +4.82% for the equal-weight version of the index.

The Zacks Focus List portfolio returned +18.41% in 2024 vs. +25.04% for the S&P 500 index and +13% for the equal-weight S&P 500 index. The portfolio had returned +29.54% in 2023 vs. +26.28% for the S&P 500 index and +13.61% for the equal-weight S&P 500 index. In 2022, the portfolio returned -15.2% vs. the S&P 500 index’s -17.96%.

The portfolio leads the broader market over the preceding one, three, five and ‘since 2004’ periods. These annualized return comparisons are: +22.27% for the Focus List vs. +15.18% for the index over the one-year period, +22.61% vs. +19.71% over the 3-year period, +17.79% vs. +16.64% over the 5-year period, and +11.85% vs. +11.44% since 2004.

Since 2004, the Focus List portfolio has produced an annualized return of +11.60% (through the end of May 2025). This compares to a +10.22% annualized return for the S&P 500 index and +9.41% for the equal-weight version of the index in the same time period.

Unlock all of our powerful research, tools and analysis, including the Focus List, Zacks #1 Rank List, Equity Research Reports, Zacks Earnings ESP Filter, Premium Screener and more, as part of Zacks Premium. Gain full access now >>

Zacks ECAP Stocks Oracle & Thermo Fisher Scientific Make Significant Gains

Oracle Corporation ORCL, a component of our Earnings Certain Admiral Portfolio (ECAP), has jumped 54.7% over the past 12 weeks. Thermo Fisher Scientific Inc. TMO has followed Oracle with 18.7% returns.

The Zacks Earnings Certain Admiral Portfolio (ECAP), which consists of 30 concentrated, ultra-defensive, long-term Buy-and-Hold stocks, returned +3.20% in the first quarter of 2025 vs. the S&P 500 index’s -4.30% decline (SPY ETF).

For the year 2024, the portfolio returned +16.26% vs. +24.89% for the S&P 500 index (SPY ETF).

In 2023, the portfolio returned +12.17% vs. +26.28% for the S&P 500 index. The portfolio returned -4.7% in 2022 vs. the S&P 500 index’s -17.96%.

With little to no turnover and annual rebalance periodicity, ECAP seeks to minimize capital loss by holding shares of companies whose earnings streams exhibit a proven 20+ year track record of surviving recessionary periods with minimal impact on aggregate earnings growth relative to the overall S&P 500.

The ECAP and many other model portfolios are available as part of Zacks Advisor Tools, a cloud-based solution to access Zacks award-winning stock, mutual fund and ETF research. Click here to schedule a demo.

Zacks ECDP Stocks Fastenal and Tractor Supply Outperform Peers

Fastenal Company FAST, which is part of our Earnings Certain Dividend Portfolio (ECDP), has returned 17.7% over the past 12 weeks. Another ECDP stock, Tractor Supply Company TSCO, has climbed 14.2% over the same time frame. Of course, the inclination of investors toward quality dividend stocks to secure an income stream amid heightened market volatility contributed to this performance.

Check Fastenal’s dividend history here>>>

Check Tractor Supply’s dividend history here>>>

With an extremely low beta and a history of minimum earnings variability over the last 20+ years, this 25-stock portfolio helps significantly mitigate risk.

The Zacks Earnings Certain Dividend Portfolio (ECDP) returned -3.17% in 2025 Q2 vs. the S&P 500 index’s +10.94% gain and the Dividend Aristocrats ETF’s (NOBL) -0.09% return. Year-to-date (through June 30th), the portfolio returned +2.38% vs. +2.18% gain for the Dividend Aristocrat ETF.

For the full-year 2024, the portfolio returned +6.95% vs. +24.89% for the S&P 500 index and +6.72% for NOBL.

The portfolio returned -0.9% in 2023 vs. +26.28% for the S&P 500 index and +8.11% for NOBL. The portfolio returned -2.3% in 2022 vs. -17.96% for the S&P 500 index and -8.34% for NOBL

Click here to access this portfolio on Zacks Advisor Tools.  

Zacks Top 10 Stock MasTec Delivers Solid Returns

MasTec, Inc. MTZ, from the Zacks Top 10 Stocks for 2025, has jumped 30.6% year to date compared with the S&P 500 Index’s 9.9% increase.

The Top 10 portfolio returned +11.8% this year (through the end of June 2025) vs. +6.2% for the S&P 500 index and +4.8% for the equal-weight version of the index.

The Top 10 portfolio returned +62.98% in 2024, vs. +25.04% for the S&P 500 index and +13% for the equal-weight version of the index. The portfolio had returned +25.15% in 2023 vs. +26.28% for the S&P 500 index.

Since 2012, the Top 10 portfolio has produced a cumulative return of +2,246.8% through the end of June 2025 vs. +502.3% for the S&P 500 index and +373.4% for the equal-weight version of the index. The portfolio has produced an average return of +26.3% in the period 2012 through June 30, 2025, vs. +14.3% for the S&P 500 index and +12.2% for the equal-weight version of the index.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research