To: Mark[ox5] who wrote (13244 ) 4/21/1998 8:21:00 PM From: Mel Viticus Read Replies (2) | Respond to of 27968
Interesting "Stock of the Week" pick... S&P's Stock of the Week StaffMark -- Growing Presence in Info Tech Staffing, Services NEW YORK, Apr. 21 (Standard & Poor's) - StaffMark Inc (STAF) is a leading provider of diversified staffing, professional, and consulting services to businesses, professional and service organizations, medical niches, and governmental agencies. Since its initial public offering in October 1996, StaffMark has acquired 23 staffing and professional services companies, allowing it to grow geographically and expand its presence in the rapidly growing professional, information technology, and specialty niche areas. The company intends to continue its acquisition program by aligning itself with quality organizations that have strong management, good growth opportunities, and recognized local and regional presence. The acquisitions have allowed StaffMark to broaden its revenue mix. A year ago, information technology and professional services accounted for only 5% of revenues, but now account for 30% of revenues. StaffMark operates more than 190 offices in 27 states, and in Canada, South Africa, and the United Kingdom. The company's recent results are impressive on the strength of the company's successful acquisition strategy, above average internal growth, growing information technology presence. The Street expects the company to earn $1.43 in 1998 and $1.81 in 1999. The stock trades at a P/E of 23 on 1999 earnings estimate and has a five-year estimated growth rate of 24%. The stock is trading above its 50- and 150-day moving average and is consolidating in narrow band after a run to l-time high. Up/down volume is bullish. Relative strength is in the top 5%. Sell stop at 34. About Stock of the Week Stocks of the Week are suggested investment opportunities for potentially large capital gain over a 3 to 12 month horizon. S&P picks these stocks from the universe not covered in the S&P STAR system. This means that no S&P yst currently follows these issues with a buy or sell recommendation. Therefore, you must complete your fundamental ysis and follow future co. developments on your own. S&P picks stocks from a combination of fundamental and technical criteria. Fundamentally, we focus on superior historical sales and earnings growth. We then look for superior five-year forward growth consensus forecasts and a moderate P/E valuation. High and increasing margins is also a criteria as are companies with high market shares. S&P's technical screens select stocks based on recognition of favorable chart patterns and high relative strength. We look for stocks breaking out to all-time highs on heavy volume after a price consolidation. MV