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Zale Corporation (ZLC)

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Hilary Kramer, Editor, Breakout Stocks Under $5   

Jeweler Zale Corporation (NYSE: ZLC) remains well below its recent highs, and that’s why it’s a good buy before earnings, which come out on Feb. 23.   

The company has turned itself around under new CEO Theo Killion and already has reported strong sales for the first two months of the quarter — its critical selling season. Mr. Killion has hinted Zale is close to returning to profitability, and if it is, even slim operating margins can produce enough earnings for the stock to do very well from current prices.   

ZLC is a buy under $5.   

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