Beat the Market with Zacks: Spotlight on Contineum Therapeutics, Suzano, and PepsiCo

U.S. Market Overview: Mixed Results Amid Uncertainty

During the previous week, American stock markets showed uneven performance. While robust corporate earnings contributed to gains, these were offset by concerns about slowing economic growth, persistent inflation, and rising geopolitical tensions. The Nasdaq Composite, S&P 500, and Dow Jones Industrial Average posted modest increases of 0.18%, 0.60%, and 0.35%, respectively. Investors remain cautious due to new tariffs from President Donald Trump and escalating friction between the U.S. and Iran.

Inflation and Labor Market Insights

According to the Bureau of Labor Statistics, the Producer Price Index (PPI) — a measure of wholesale inflation — rose 0.5% in January, surpassing expectations and following a revised 0.4% increase in December. Core PPI, which excludes volatile items, climbed 0.8% after a 0.6% rise the previous month. These figures indicate that inflation may not be easing as quickly as anticipated. Meanwhile, weekly jobless claims remained low at 212,000, highlighting the ongoing strength of the labor market.

Despite these challenges, the U.S. economy continues to demonstrate resilience, supported by healthy corporate profits and a strong employment landscape. However, inflationary pressures and global uncertainties persist, making the outlook less predictable.

Expert Guidance from Zacks

No matter how the market shifts, Zacks offers impartial advice to help investors outperform benchmarks. Over the last three months, Zacks Research has steered investors using proven strategies. In light of current volatility, reviewing recent successes may help you plan your next move.

Recent Highlights from Zacks

• Contineum Therapeutics and NETSTREIT saw notable gains after Zacks Rank upgrades.
• Suzano and AngioDynamics benefited from Zacks Recommendation upgrades.
• Deere & Company and Chevron, part of the Zacks Focus List, delivered strong returns.
• Church & Dwight and Amgen, featured in the ECAP portfolio, achieved significant growth.
• Procter & Gamble and PepsiCo, included in the ECDP portfolio, outperformed their peers.
• FirstCash Holdings, from the Top 10 Stocks list, posted impressive results.

Contineum Therapeutics and NETSTREIT: Impact of Zacks Rank Upgrade

After being elevated to Zacks Rank #2 (Buy), Contineum Therapeutics, Inc. (CTNM) surged 27.1%, outperforming the S&P 500, which declined 0.2% during the same period. Similarly, NETSTREIT Corp. (NTST) returned 19% following its upgrade, while the S&P 500 fell 0.6%.

The Zacks Rank system, which relies on earnings estimate revisions, has consistently shown a strong link between these revisions and short-term stock price movements.

An equal-weight portfolio of Zacks Rank #1 (Strong Buy) stocks outperformed the S&P 500 by 7 percentage points, with returns of +17.81% versus +10.85% for the index.

In 2024, this portfolio delivered +22.4%, compared to +13.7% for the S&P 500. Over the past decade, Zacks Rank #1 stocks have outpaced the index by more than 7 percentage points (+18.55% vs. +11.65%).

Suzano and AngioDynamics: Upgraded Recommendations

Suzano S.A. (SUZ) and AngioDynamics, Inc. (ANGO) advanced 21.7% and 13.8%, respectively, after their Zacks Recommendations were raised to Outperform in early January, while the S&P 500 declined 0.5%.

The Zacks Recommendation system forecasts performance over a 6-12 month horizon and, like Zacks Rank, is based on earnings estimate trends. Stocks are categorized as Outperform, Neutral, or Underperform, with analysts able to adjust recommendations based on their expertise.

Focus List Standouts: Deere & Company and Chevron

Deere & Company (DE) gained 34.2% in the past 12 weeks, having been part of the Focus List since July 2017. Chevron Corporation (CVX) returned 24.3% over the same period, both outperforming the S&P 500’s 0.7% rise.

The Focus List portfolio achieved +22.1% in 2025, compared to +17.9% for the S&P 500 and +11.4% for the equal-weight index.

In 2024, the portfolio returned +18.41%, while the S&P 500 saw +25.04% and the equal-weight index +13%. The portfolio posted +29.54% in 2023, outpacing the S&P 500’s +26.28%.

Over rolling one-year, three-year, and ten-year periods, as well as since 2004, the Focus List portfolio has consistently outperformed the S&P 500.

ECAP Portfolio: Church & Dwight and Amgen

Church & Dwight Co., Inc. (CHD) jumped 25.5% in the last 12 weeks, while Amgen Inc. (AMGN) followed with a 14.7% gain. Both are part of the Earnings Certain Admiral Portfolio (ECAP).

ECAP, comprising 30 highly defensive, long-term buy-and-hold stocks, returned -2.3% in Q4 2025 versus the S&P 500’s +2.7%. For 2025, ECAP was down -1.67%, while the S&P 500 rose +17.9%.

In 2024, ECAP returned +16.26% compared to +24.89% for the S&P 500. In 2023, ECAP posted +12.17% versus the S&P 500’s +26.28%.

ECAP aims to minimize losses by holding companies with a proven record of stable earnings through economic downturns.

ECDP Portfolio: Procter & Gamble and PepsiCo Outperform

The Procter & Gamble Company (PG) returned 14.6% in the past 12 weeks, while PepsiCo, Inc. (PEP) climbed 14.2%. Both are part of the Earnings Certain Dividend Portfolio (ECDP), which appeals to investors seeking reliable income during volatile markets.

This 25-stock portfolio, characterized by low volatility and stable earnings, helps reduce investment risk.

ECDP returned -2.1% in Q4 2025, compared to the S&P 500’s +2.7% and the Dividend Aristocrats ETF’s +1.6%. For 2025, ECDP was down -0.6%, while the ETF gained +6.8%.

In 2024, ECDP returned +6.95%, versus +24.89% for the S&P 500 and +6.72% for NOBL. In 2023, ECDP was down -0.9%, while the S&P 500 gained +26.28%.

Top 10 Stocks: FirstCash Delivers Strong Performance

FirstCash Holdings, Inc. (FCFS), featured in Zacks Top 10 Stocks for 2026, soared 23% since the list’s release, compared to the S&P 500’s 0.5% increase.

The Top 10 portfolio returned +22.6% in 2025, outpacing the S&P 500’s +17.9% and the equal-weight index’s +11.4%.

In 2024, the portfolio achieved +62.98%, compared to +25.04% for the S&P 500. Since 2012, the Top 10 portfolio has delivered a cumulative return of +2,472.7%, far exceeding the S&P 500’s +561.6%.

5 Stocks Poised to Double

Five stocks have been selected by Zacks experts for their potential to increase by 100% or more in the coming months:

• Stock #1: A disruptive company with impressive growth and durability
• Stock #2: Positive momentum suggesting a buying opportunity
• Stock #3: Among the market’s most attractive investments
• Stock #4: Leading a rapidly expanding industry
• Stock #5: An innovative omni-channel platform ready for expansion

Many of these picks are not widely followed on Wall Street, offering early entry opportunities. Previous recommendations have achieved gains of +171%, +209%, and +232%.

Additional Resources and Reports

For up-to-date recommendations from Zacks Investment Research, download the “7 Best Stocks for the Next 30 Days.”

Free Stock Analysis Reports

• Chevron Corporation (CVX)
• AngioDynamics, Inc. (ANGO)
• Procter & Gamble Company (PG)
• Amgen Inc. (AMGN)
• Deere & Company (DE)