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Chicago, IL – February 23, 2026 – Stocks in this week’s article are Micron Technology, Inc. MU, Ralph Lauren Corp. RL and Modine Manufacturing Co. MOD.
Investors should prioritize companies that generate strong returns after accounting for operating and non-operating expenses. As a result, profitable businesses are more attractive than those operating at a loss. To assess profitability, analysts rely on accounting ratios, with the most widely used measure being the net income ratio, which evaluates a company's bottom-line performance.
To that end, Micron Technology, Inc., Ralph Lauren Corp. and Modine Manufacturing Co. have been selected as the top profitable picks because of their high net income ratios and strong upside potential.
The net income ratio indicates a company's exact profitability level. It reflects the percentage of net income to total sales revenues. Using the net income ratio, one can determine a firm's effectiveness in meeting operating and non-operating expenses from revenues. A higher net income ratio usually implies a company's ability to generate ample revenues and successfully manage all business functions.
Here are three of the 10 stocks that qualified for the screening:
Micron Technology
Micron Technology designs, manufactures, and sells memory and storage products worldwide. The 12-month net profit margin of MU is 28.2%. The company's expected earnings growth rate for the current year is 307.5% (read more: 2 AI Stocks Soaring Over 400% That Could Be the Next NVIDIA).
Ralph Lauren
Ralph Lauren designs and sells lifestyle products worldwide. RL's 12-month net profit margin is 11.7%. The company's expected earnings growth rate for the current year is 30.5%.
Modine Manufacturing
Modine Manufacturing designs and manufactures mission-critical thermal solutions worldwide. The 12-month net profit margin of MOD is 3.4%. The company's expected earnings growth rate for the current year is 18.8%.
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For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/2872395/micron-2-more-profitable-stocks-to-buy-now-for-big-gains
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.
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This article originally published on Zacks Investment Research (zacks.com).
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