3 Stocks Growing Earnings Faster Than Sales

These companies have efficient operating activities

Summary
  • First Citizens BancShares, Zions Bancorp and CubeSmart are improving their profit margins.
  • This is an indication that their operating activities are very efficient.
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Investors may want to consider the following stocks since they are growing earnings faster than sales, which may indicate efficient operating activities as profit margins expand along with growth.

First Citizens BancShares

The first stock value investors may want to consider is First Citizens BancShares Inc. (FCNCA, Financial), a Raleigh, North Carolina-based regional bank providing retail and commercial banking services.

On average, the company saw its trailing 12-month revenue per share increase by 11.70% and its trailing 12-month earnings per share increase by 23.70% annually over the last five years.

The stock closed around $743.74 per share on Wednesday for a market cap of $11.48 billion and a 52-week range of $707.75 to $947.71.

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The company pays quarterly dividends currently. The next payment of 47 cents per share will be issued on March 15, generating trailing 12-month and forward dividend yields of 0.26% as of Feb. 23.

Wall Street sell-side analysts issued a median recommendation rating of buy for this stock and have established an average target price of $1,031.25 per share.

Zions Bancorp

The second stock investors may want to consider is Zions Bancorp NA (ZION, Financial), a Salt Lake City, Utah-based regional bank.

On average, the company saw its trailing 12-month revenue per share increase by 10.20% and its trailing 12-month earnings per share increase by 23.10% annually over the last five years.

The stock closed at around $69.71 per share on Wednesday for a market cap of $10.05 billion and a 52-week range of $47.06 to $75.44.

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The company currently pays quarterly dividends. A payment of 38 cents per share was made on Feb. 24, generating a trailing 12-month dividend yield of 2.24% and forward dividend yield of 2.3% as of Feb. 23.

Wall Street sell-side analysts issued a median recommendation rating of overweight for this stock and have established an average target price of $74.14 per share.

CubeSmart

The third stock value investors may want to consider is CubeSmart (CUBE, Financial), a Malvern, Pennsylvania-based real estate investment trust.

On average, the company saw its trailing 12-month revenue per share increase by 5.90% and its trailing 12-month earnings per share increase by 17.70% annually over the last five years.

The stock closed at around $48.12 per share on Wednesday for a market capitalization of $10.52 billion and a 52-week range of $34.96 to $57.34.

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Currently, the company pays a quarterly dividend. The last payment of 43 cents per share (up 26.5% year over year) was issued on Jan. 18, leading to a trailing 12-month dividend yield of 3.02% and a forward dividend yield of 3.57% as of Feb. 23.

Wall Street sell-side analysts issued a median recommendation rating of overweight for the stock and have established an average target price of $60.10 per share.

Disclosures

I/we have no positions in any stocks mentioned, and have no plans to buy any new positions in the stocks mentioned within the next 72 hours. Click for the complete disclosure