Zacks.com Featured Expert Kevin Matras Highlights: First Majestic Silver, Mattel, U.S. Silica Holdings And KEYW

 | Jan 11, 2019 02:51AM ET

For Immediate Release

Chicago, IL – January 11, 2019– Stocks in this week’s article include First Majestic Silver Corp. (NYSE:AG) , Mattel, Inc. (NASDAQ:MAT) , U.S. Silica Holdings, Inc. (NYSE:SLCA) and The KEYW Holding Corp. (NASDAQ:KEYW) . Kevin Matras screens for companies showing their 'first' profit and explains why they are ones to watch.

Screen of the Week written by Kevin Matras of Zacks Investment Research:

4 Toxic Stocks to Abandon or Sell Short for Solid Gains

Proper identification of rightly-priced stocks is crucial for successful investing. However, in reality, correctly-priced stocks and overpriced toxic stocks are intertwined in such a way that it is tough to distinguish between the two.

Usually, overhyped toxic stocks are vulnerable to external shocks. Moreover, these stocks are loaded with a huge amount of debt. The price of these stocks is artificially inflated. Nonetheless, the higher price of toxic stocks is only transitory in nature as it exceeds its true intrinsic value.

Investors are likely to gain from accurate identification of toxic stocks with the help of an investing strategy called short selling. This strategy allows investors to sell a stock first and then buy it when price falls.

While short selling excels in bear markets, it typically loses money in bull markets.

So, precisely figuring out toxic stocks and abandoning or short selling those at the right time is the key to safeguard your portfolio from big losses.

For the rest of this Screen of the Week article please visit Zacks.com at: Zacks Investment Research

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