For Immediate Release

Chicago, IL – August 20, 2009 – Zacks.com releases the latest Zacks Industry Rank. Stocks featured in this week’s analysis include Maidenform (MFB), Warnaco Group (WRC), True Religion (TRLG), Polo Ralph Lauren (RL), Hanesbrands (HBI) and Jones Apparel (JNY).

Zacks Industry Rank Analysis is written by Charles Rotblut, CFA, Senior Market Analyst for Zacks.com.

This week: Analysts Too Negative On Apparel Makers

Given that we're in back-to-school season, it is somewhat timely that Textile-Apparel Manufacturing appeared on my radar screen. The group has a strong revisions ratio, a sign that positive estimate revisions significantly outnumber negative revisions.

Behind the positive revisions are relatively better forecasts. Last week, Maidenform (MFB) and Warnaco Group (WRC) both raised their full-year EPS guidance. The week prior, True Religion (TRLG) gave a brighter forecast, while Polo Ralph Lauren (RL)

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Given that we're in back-to-school season, it is somewhat timely that Textile-Apparel Manufacturing appeared on my radar screen. The group has a strong revisions ratio, a sign that positive estimate revisions significantly outnumber negative revisions.

Behind the positive revisions are relatively better forecasts. Last week, Maidenform (MFB) and Warnaco Group (WRC) both raised their full-year EPS guidance. The week prior, True Religion (TRLG) gave a brighter forecast, while Polo Ralph Lauren (RL) predicted a less severe decline in sales than many had expected.

The revisions are notable because they suggest that business conditions are not as bad as feared. Since stocks are valued based on future profits, any increase in earnings estimates should lead to higher stock prices. In the case of the aforementioned stocks, several analysts have raised profit forecasts - a positive change.

Revisions Are Relative

Though the trend in earnings estimate revisions

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Morgan Keegan analyst Brad Stephens recommended the following stocks on CNBC:

1. Warnaco Group

a. 70% of business is Calvin Klein brand, which is #2 luxury brand worldwide

b. 55% of sales outside U.S.

c. international play

2. Fossil

a. owns licensing for Burberry, Armani, DKNY

b. wholesale sales- 52% outside U.S.

3. Aeropostale

a. price structure is below competition, which should help in this weak economy

b. only U.S. retailer he likes

Track Brad’s picks at:

http://www.trackthepros.com/categories.php?category_id=840