CHICAGO, Oct 02, 2008 (BUSINESS WIRE) -- Combining strong underlying fundamentals with low valuations can lower
risk and increase portfolio returns. Zacks'
Discounted Fundamental Strength Profit Track strategy has generated
double-digit returns for six consecutive years, including a 34% gain in
2006. For the first month of 2007, this Profit Track returned 7.3%. Four
stocks that currently have both fundamental strength and discounted
valuations are: Tyco International Ltd. (NYSE: TYC), AK Steel
Holding Corp. (NYSE: AKS), Medifast Inc. (NYSE: MED) and Diamond
Foods, Inc. (NASDAQ: DMND). View the entire list of stocks
for the Discounted Fundamental Strength Profit Track at http://at.zacks.com/?id=2142.

Here are details about four companies currently identified by the
Discounted Fundamental Strength Profit Track:

Tyco International Ltd. (NYSE: TYC), a Zacks #1 Rank, earned its
place on the Discounted Fundamental Strength profit track with a PEG
ratio of .83 and a current ratio of 1.58. Moreover, TYC enjoys a
debt/equity ratio of .25 and a price/sales ratio of .83. TYC delivered
exceptional third-quarter results with an earnings per share surprise of
31.34%. The company is also scheduled to pay a dividend of 20 cents on
Nov 3 to shareholders of record on Sep 29. TYC provides thousands of
products and services, ranging from electronic security to fire-fighting
equipment, to residential and commercial customers.

AK Steel Holding Corp. (NYSE: AKS) reported second-quarter net
earnings of $1.29 per share, compared to 98 cents last year. Analysts
expected $1.14. The Zacks #1 Rank company also enjoys a price/sales
ratio of .39 and a debt/equity ratio of .50. Moreover, a PEG ratio of
.70 and a five-year average Return on Assets of 1.82% suggest that the
company trades at a discount despite being fundamentally solid. AKS
produces flat-rolled carbon, stainless and electrical steel products for
automotive, appliance, construction and manufacturing markets.

Medifast Inc. (NYSE: MED) is engaged in the production,
distribution, and sale of consumable health and diet products. MED
qualifies for this profit track with a current ratio of 2.17 and a
debt/equity ratio of .13, bettering this screen's
parameters of greater than 1.5 and less than .5, respectively. In
addition, the company has an average Return on Assets of 10.81% over the
past 5 years and a PEG ratio of .75. The Zacks #2 Rank company reported
solid second-quarter results with net earnings of 11 cents per share,
compared to 7 cents last year.

Diamond Foods, Inc. (NASDAQ: DMND) is a branded food company that
markets and distributes culinary, snack, in-shell and ingredient nuts.
Over the past 5 years, the company has averaged a Return on Assets
8.05%. However, this fundamentally-solid company still trades at a
discount, as evidenced by its PEG ratio of .75. In addition, the company
sports a Zacks #1 Rank and a per share price of $28.03. In the fourth
quarter, DMND delivered a 23.08% surprise with earnings of 16 cents per
share.

Discover all the stocks currently on the Discounted Fundamental Strength
Profit Track at: http://at.zacks.com/?id=2143.

About Profit Tracks

What is a "Profit Track"? Each Profit Track is a
successful stock picking strategy with proven results through the Bear
Market of 2001-2002 and the Bull run started in 2003. On Zacks.com we
have created these nine unique screens to offer investors great
strategies to potentially outperform the market in the years ahead. In
2006, the Low Price Stocks strategy was the top performing Profit Track
with a return of +56.5% followed by the Discounted Fundamental screen
with a +34% return. To see all nine strategies along with philosophy,
past performance and current stocks, go to http://at.zacks.com/?id=1838.

All the Profit Track strategies were created and backtested using the
Research Wizard software from Zacks Investment Research. If you like
this screening strategy, but want to narrow down the list of stocks and
even improve the performance, then you should start a free trial to this
powerful stock picking tool. Learn more about the Research Wizard free
trial offer and our new special report "Top
10 Stock Screening Strategies" at http://at.zacks.com/?id=4630

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was
formed in 1978 by Leonard Zacks. As a PhD in mathematics Len knew he
could find patterns in stock market data that would lead to superior
investment results. Amongst his many accomplishments was the formation
of his proprietary stock picking system; the Zacks Rank, which continues
to outperform the market by nearly a 3 to 1 margin. The best way to
unlock the profitable stock recommendations and market insights of Zacks
Investment Research is through our free daily email newsletter; Profit
from the Pros. In short, it's your steady flow of Profitable ideas
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Zacks Investment Research is under common control with affiliated
entities (including a broker-dealer and an investment adviser), which
may engage in transactions involving the foregoing securities for the
clients of such affiliates.

Visit http://www.zacks.com/performance
for information about the performance numbers displayed in this press
release.

Disclaimer: Past performance does not guarantee future results.
Investors should always research companies and securities before making
any investments. Nothing herein should be construed as an offer or
solicitation to buy or sell any security.

SOURCE: Zacks.com

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Contact: Alla Kushner 
Phone: 312-265-9208 
Email: pr@zacks.com 
Visit: www.Zacks.com

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