The Best Top-Ranked Stocks to Buy Now in November

The stock market is trading just below all-time highs in the early days of November as Wall Street celebrates strong earnings results, Fed rate cuts, and artificial intelligence spending.

Some investors might not want to ‘chase’ AI stocks right now. But that doesn’t mean they should stay on the sidelines because market timing is an extremely difficult and dangerous game to play. Plus, there are always strong stocks to buy, sporting impressive fundamentals, if you know where to look.

Today, we dig into how investors can use a Zacks screen to help find some of the best Zacks Rank #1 (Strong Buy) stocks out of a group of over 200 highly-ranked companies to consider buying in November and beyond.  

Zacks Rank #1 (Strong Buy) stocks outperform the market in good and bad times. However, there are over 200 stocks that earn a Zacks Rank #1 at any given time.

Therefore, it’s helpful to understand how to apply filters to the Zacks Rank in order to narrow the list down to a more manageable and tradable set of stocks.

Screen Parameters: The Best Top-Ranked Stocks to Buy 

Clearly, there are only three items on this screen. But together, these three filters can result in some impressive returns.

• Zacks Rank equal to 1

Starting with a Zacks Rank #1 is often a strong jumping off point because it boasts an average annual return of roughly 24.4% per year since 1988.

• % Change (Q1) Est. over 4 Weeks greater than 0

Positive current quarter estimate revisions over the last four weeks.

• % Broker Rating Change over 4 Week equal to Top # 5

Top 5 stocks with the best average broker rating changes over the last four weeks.

This strategy comes loaded with the Research Wizard and is called bt_sow_filtered zacks rank5. It can be found in the SoW (Screen of the Week) folder.

Here is one of the five stocks that qualified for the Filtered Zacks Rank 5 strategy today…

Buy Soaring Top-Ranked PRM Stock Now for Value and Growth

Perimeter Solutions, Inc. PRM is a fire safety giant that posted a blowout beat-and-raise third quarter on October 30. PRM’s Fire Safety segment is built around formulating and manufacturing fire management products to help fight fires across wildland, structural, flammable liquids, and beyond.

Meanwhile, its Specialty Products unit is focused on phosphorus pentasulfide (P₂S₅) that’s used in a wide variety of applications, including the lubricant additives market, solid state batteries, organophosphate insecticides, and more.

Perimeter Solutions grew its adjusted earnings per share by 9% in Q3, topping our estimate by 21% for its fourth straight big beat. Its upbeat EPS revisions include a 20% jump for Q4 and help it earn its Zacks Rank #1 (Strong Buy) right now.

PRM stock soared 670% in the past two years to trade at new highs. Yet, it currently sits 10% below its average Zacks price target. Despite its run and outperformance vs. its industry, Perimeter Solutions trades at an 18% discount to its median and 10% below its industry at 18.4X forward 12-month earnings. And all three of the brokerage recommendations Zacks has are “Strong Buys.”

Get the rest of the stocks on this list and start looking for the newest companies that fit these criteria. It's easy to do. And it could help you find your next big winner. Start screening for these companies today with a free trial to the Research Wizard. You can do it.

Click here to sign up for a free trial to the Research Wizard today.

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Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. 

Disclosure: Performance information for Zacks’ portfolios and strategies are available at: www.zacks.com/performance_disclosure

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

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