Zacks Premium is one of the most popular investing subscription services that many investors consider. In this Zacks Premium review, we take a closer look at the stock screening and research service and other features offered by Zacks. 

Zacks Investment Research Review – What Is It? 

Zacks Investment Research is an online investment research firm that provides the Zacks Premium service. The firm provides technical and fundamental analysis to investors, helping them choose the right options for their portfolio.

From this Zacks Investment Research review, you will see that the platform only provides research items and reports, so investors can learn from these and use the information on other trading platforms. But, there is also Zacks Trade, which is ideal for investors who want to get their research and do their trading in the same place. 

Zacks Premium provides investors with research and tools to enhance their portfolio performance, including a ranking system, equity research, premium screening, long-term analysis, and recommendations. 

Zacks Investment Research uses a scoring system created by Len Zacks, the founder. It was created in 1978 with a focus on finding patterns in stock market data that could lead to profit results. But since this was a couple of decades ago, it has caused many investors to wonder: Is Zacks Premium worth it? Let’s dig right into it.

Key Features of Zacks Premium 

The next section of our Zacks review is the features offered by the stock research service. Zacks Premium carries out research on different investment vehicles like individual stocks, exchange-traded funds, and mutual funds. The Zacks analyst platform offers data and information in data sheets and articles. 

The most noteworthy services that we identified when putting the Zacks investment management review are the portfolio management tools like the ranking tool, company news and portfolio tracker, stock research reports, and earnings estimate revisions. 

The Zacks stock advisor includes information for 10,000+ different stocks, excluding stocks with limited market capitalization. Here are the main features of Zacks Premium. 

Zacks #1 Rank List 

One of the highlights of Zacks Premium is the #1 Rank List. This is a private list that is made up of the Zacks #1 Rank stocks, all of which are strong buy stocks with the most potential. The stocks recommended on the list have an impressive track record, doubling the S&P 500 with an average gain of +24.0% yearly from January 1, 1988, to December 4, 2023. 

The Zacks ranking system rates stocks from 1-5, so 1 is a Strong Buy, and 5 is a Strong Sell. It follows a predictive model that forecasts future prices rather than relying on past performance. The ranking will help investors know when to buy and sell their stocks. 

Focus List 

Another service provided to subscribers of Zacks Investment Research Inc. is the Focus List. This is a portfolio containing the best 50 long-term stocks, all of which have been handpicked by Sheraz Mian, the Zacks Director of Research. It is based on their earnings momentum.

All of the stocks on the list come backed up with a comprehensive Equity Research Report, so investors can check the reasons behind each pick. Also, every Monday, the platform sends a Weekly Market Analysis email which shares insights on sector allocation and market direction. It will include information on why stocks were chosen or removed from the portfolio. 

Style Scores 

Another feature highlighted in our Zacks stock screener review is the Style Scores, which allows investors to find stocks that meet their investing style. This is made possible with the Value, Growth and Momentum (VGM) Score of A, B, C, D or F. 

The scores are assigned to every stock recommended by Zacks and allow you to narrow down stocks. So, if you select the stock with the Style Score of A or B and a specific Zacks Rank, you get better performance. 

Industry Rank 

You can also find some Zacks picks on the Zacks Industry Rank. Investors use the Industry Rank to find stocks that can outperform the market in the future. There are over 250 industry groups, and all companies are placed in their category with the Zacks Rank. Since Zacks’s performance shows to have beaten the market, you get impressive stock picks. 

This allows investors to identify the top industries and the top stocks in those industries. According to Zacks Investment Research, Inc., the stocks in the top half of the Industry Rank have beaten the bottom half by a factor of over 2 to 1. 

Zacks Earnings ESP Filter 

One of the Zacks advisor tools is the Earnings Expected Surprise Prediction (ESP) Filter. The Earnings ESP filter allows you to search stocks that have a high chance of positively surprising investors with profitable earnings. 

This filter helps you find stocks to sell before they move negatively or make a profit by going short so that you don’t miss out on the earnings. This follows the Zacks Earnings ESP metric, which has a track record of predicting earnings with 70% accuracy over ten years. 

Equity Research Reports 

If you want to read any of the Zacks stock reviews, you can check out the equity research reports. The reports cover over a thousand stocks, all of which are widely followed by investors. 

In the report, you get independent research carried out by Zacks analysts, with in-depth research on the company, its essential details and its growth prospects. It can help you decide why you should buy, hold or sell a stock. 

Stocks Screener

Although there is a Zacks’ free stock screener, investors also have access to the premium screener. The premium screener allows you to choose from 45+ predefined screens, all strategically created by Zacks. These screeners help you find the best stocks that match your trading style. 

How Does Zacks Ranking Work

You can’t sign up on Zacks without checking out the Zacks Rank review. The Zacks Ranking System works based on four important factors and is recalculated each night, so you get a new list every day:

• Agreement: This indicates that if there are a lot of analysts revising the estimates, the score for that component will be better. 
• Magnitude: This score increases when there is a higher change in stock. 
• Upside: This score is higher when the difference between the most accurate and the consensus estimate is wide.
• Surprise: When a company has historical positive earnings surprises, then there will probably be future surprises. 

Benefits of Zacks Premium 

If you’re thinking of paying the Zacks subscription cost, you should first keep the benefits in mind. 

• In-depth Research and Analysis: Zacks Premium offers extensive research and analysis to its subscribers through different resources. These include research reports, investment recommendations and stock analysis. The resources will be valuable to investors who want detailed information. 
• Timely Information: Subscribers receive timely updates on stock movements, market trends, and economic indicators. With the Zacks ranking system, you can constantly check which stocks are performing well. 
• Educational Resources: Aside from the ranking and industry reports, there are news, blog posts and articles available on Zacks Premium. You can read articles on market strategy and daily research insights on different stocks.
• Expertise: All the recommendations and insights on Zacks Premium are from experts and analysts in the financial sector. This gives you access to exclusive information that you might not find elsewhere. 
• Personalized Alerts: You can set Zacks Premium up to receive alerts and notifications based on your investment preferences and liked stocks. 
• Free Access to a Broker: The Zacks Investment Research company is connected to a broker, which makes it easy for you to trade the stocks you’ve learned about on Zacks Premium. You can also place phone trades. 
• Available to International Investors: Another benefit of using the Zacks app is that the platform is available to global investors. Zacks Trade is available in 218 countries with over 90 international exchanges. 
• Free Trial and Money-Back Guarantee: Zacks Premium comes with a 30-day free trial that investors can take advantage of before spending money. There is also a 90-day money-back guarantee that will offer a full refund.

Limitations of Zacks Premium 

There are also some Zacks Investment Management complaints and downsides that you should keep in mind.

• No Personalized Recommendations: The stock picks offered by Zacks are all general, so there are no personalized stock recommendations just for you. 
• Significant Price Tag: The Zacks Premium cost is a worry for many, especially new investors who might not be able to afford it. While it’s costly, you can use the 30-day free trial to determine whether you want to sign up or not. 
• No Guaranteed Returns: It’s important to note that there are no guaranteed returns when using Zacks for your investment advice. While their recommendations are valuable, the stock market is volatile, so it’s important to make informed decisions. 

External Zacks Investment Research Reviews Online 

Even after reading this Zacks Premium review, you should also know what others are saying about Zacks.com. There are different positive Zacks.com reviews praising the platform for its service and valuable insight. However, it’s important to also take a look at the negative reviews given by some investors.

On Sitejabber, there are 135 Zacks Investment Management reviews, with an impressive rating of 4.36 stars. The investors say that it’s suitable for trading and investing and provides daily reports.

There are also Zacks Investment reviews on TrustPilot. Zacks Investment Research has received a 2.2 rating from 92 reviews. It is also a verified company on Trustpilot. 

Zacks Membership Cost and Plans 

Zacks Premium

Before you sign up, you need to consider the Zacks membership costs. If you’re signing up for Zacks Premium, you pay a subscription of $249 per year with a 30-day free trial. Aside from Zacks Premium, there are other membership plans that you can consider along with the stock research service. You can cancel Zacks Premium before the free trial or money-back period is over. 

Zacks Ultimate

You might consider a Zacks Ultimate membership, which costs $299 per month and $2995 per year. The Zacks Ultimate Program gives detailed access to market insights and offers private picks from all the portfolio recommendation services. If you want an exclusive service, you can sign up on Zacks Ultimate. Some of the categories include ETF, marijuana, healthcare, ETF, short sell list, options, insider trading and more.  

Zacks Premium vs Ultimate

Most people compare Zacks Premium vs Ultimate, especially because Zacks Ultimate will give you all the tools from Zacks Premium and other buys and sells from the private portfolios. Zacks Premium gives professional-grade tools to investors, while Zacks Ultimate offers access to private picks and market insights from different portfolio recommendation services, so it is more exclusive. Ultimate is also more expensive, as its monthly cost is more than Premium’s annual cost. 

Zacks Investor Collection

Another option is the Zacks Investor Collection, which is a subscription bundle suitable for long-term investors. It includes exclusive stock picks for long-term portfolios, including Stocks Under $10, and access to premium reports and research tools for finding stocks, ETFs and mutual funds. It costs $59 per month or $495 per year and also features a 30-day free trial. 

Additional Features and Services

If you want to add more to your Zacks Premium features, you can get screening and backtesting tools with the Zacks Research Wizard. When you read Zacks Research Wizard reviews, you will see that the service offers backtesting and professional stock pickers to help you find winning stocks. You get access to a database of stocks and can test over 15 strategies. 

Another service that you can pay for on Zacks Investment Research Inc. is the Method for Trading. If you’ve paid for Zacks Premium but are unsure how to take advantage of the Zacks ranking, then you can buy this home study course for $39. It is an interactive online program from Zacks that teaches you how to master the stock-picking system. You can also learn other things like the type of trader you are, how to find the right stocks, how to trade them, and more. 

While using the Zacks advisor tools, there are different books you can buy from the members of the research team. Some examples are Finding #1 Stocks by Kevin Matras and The Handbook of Equity Market Anomalies, which was edited by Len Zacks himself. Before you sign up for Zacks Premium, you should consider the pricing and extra costs. 

Navigating the Zacks Premium Platform 

One of the highlights of using Zacks Premium is that it’s pretty easy to navigate. When you open Zacks.com, you get a menu that allows you to reach different parts of the platform, including stocks, funds, crypto, earnings, screeners, portfolio tools, and education. The home page shows all the features of Zacks.

Then, you can click on Premium Home, which you can easily find while scrolling on the homepage. Even without signing up, you get a full view of the Premium Tools & Resources. This includes the #1 Rank List, Industry Rank List, Focus List, research reports, Earnings ESP filter, and premium screens. But if you click on any of these, it prompts you to register for the 30-day free trial.

If you scroll down, you can view the trending stocks that are beating earnings on the Earnings ESP list. It only shows you about five stocks. You can also view the Premium Screens available as you scroll down, the top performers on the Focus List and the Zack #1 Rank stocks per day. You can also read some of the analyst’s reports and research details. There is also a free portfolio tracker, which you can access from the Premium page.

Beginners might be unsure of how to use Zacks Premium for the first time. So, you can explore the platform with the Getting Started Tour. It shows you how to use all the tools and resources to enhance your portfolio’s performance. It’s also helpful that you can navigate the platform without signing up, allowing you a sneak peek at the services offered. 

It’s easy to access Zacks’ customer service when navigating the platform. You can contact the toll-free number or support by phone. There is also email support available to subscribers. 

Zacks Trade Platforms 

If you want to trade after getting information from Zacks Premium, you can make use of Zacks Trade. There are three trading platforms available. For one, there is the Zacks Trade Pro, which offers custom charting, Options Strategy Lab, and 120+ technical indicators.

Next is the web-based Zacks Trade platform, which has fewer features but still comes with tools like market data streaming and interactive charts. Plus, there is a Client Portal, which provides access to balances and account documents. 

Zacks Trade works with Interactive Brokers to provide trading services. It does not have IPO access but has over-the-counter (OTC) stocks with a commission of 1% of the trade value or $1. 

Zacks Mobile App 

You can easily access portfolio services with the Zacks app. It’s pretty reassuring that you can download Zacks Stock Research on iOS and Android devices. The mobile app has tools like real-time trade alerts, long and short open positions, and full portfolio services. You also get the latest stock market news, real-time BATS stock price data, articles and research while using the mobile app. 

The mobile Zacks app has a 4.4 rating on Google Play out of 5,987 votes. As for the App Store, the iOS app features a rating of 4.2 stars from 3,940 reviews. The apps are free to download but come with in-app purchases for the Premium and other plans. To get started, download the app and sign in or register. 

Zacks Trade Account Details and Features

Even with information on high-ranking stocks, you still need a reliable trading platform. Luckily, Zacks Investment Research comes with a trading service, which you can sign up for. If you want to use the same platform for all your investment needs, you can try out Zacks Trade. Here’s a brief Zacks Trade review of the important requirements, tradable securities, minimum amount and fees.

Account Minimum and Fees 

The account minimum at Zacks Trade is $2500, which is pretty high. Although most brokers have removed the minimum amount to open an account, Zacks Trade still holds on to it, making it difficult for beginners to sign up and start trading. It’s safe to say that Zacks Trade is not suitable for beginners.

There are also some account fees to consider when signing up on Zacks Trade. Accounts with balances under $25,000 will have to pay inactivity fees of $15 per month if they neglect their account for too long. Then, there is one free transfer per month. After that, the transfer fees are $10 for wire transfer, $1 for ACH and $4 for check. Luckily, the fees are few, and you don’t have to pay to transfer assets. 

Stocks and Options Trading 

Zacks Trade offers stocks and options trading, which is expected since you can get the best picks from the Zacks screener service. The stock’s trading costs are one cent per share, with a minimum of $1. Then it’s $1 minimum or 1% of trade value for penny stocks. As for options trades, the fees are $1 for the first contract and 75 cents for the next one.

But, it’s important to note that most brokers don’t have a trading commission on US-listed stocks. This makes Zacks Trade a bit more expensive. It also has a higher contract fee for options. 

Tradable Securities 

There are many tradable securities available when you use Zacks Trade along with Zacks Premium. Our Zacks Premium review compiled the list of the best securities, including stocks, fractional shares, foreign stocks, mutual funds, options, ETFs, and bonds like treasuries, municipal bonds, and corporate bonds. 

Zacks Trade offers domestic and foreign stocks and a wide range of other securities. As for the bonds, they are subject to separate fees. The Treasury bonds come at $3 per bond, with 0.025% of face value up to $1 million. There are also corporate bonds coming at $3 per bond and 0.1% face value up to $10,000. 

But it’s important to note that Zacks Trade might not be suitable for your mutual fund investments. This is because it does not have mutual funds without transaction fees, and the minimums are $100 and more. This might be too expensive for new traders. Another important note is that Zacks Trade works with Interactive Brokers and features a separate mobile app for managing and viewing your trades. 

Who is Zacks Premium Best For? 

Zacks Premium is best for investors who need detailed research on diverse investment vehicles like individual stocks, ETFs and mutual funds. It is best for active traders and stock traders, although the target audience includes different kinds of traders. Zacks Picks is best for the following types of traders:

• Active Investors: Zacks Premium is suitable for investors who are actively managing their portfolios and constantly need timely information to make good trading decisions.
• Individual Stock Investors: Since Zacks Premium focuses on individual stocks, it’s suitable for investors who need in-depth research on these companies. 
• Experienced Traders: Only traders who have enough experience in technical and fundamental stock analysis can make use of the research provided by Zacks. 
• Long-Term Traders: Investors who are looking for stocks with strong growth potential can try out Zacks, as it offers long-term trading strategies.
• Research-Oriented Investors: Investors who are concerned about research will benefit from Zacks Premium since it offers very detailed reports and investment strategies. 
• Income Investors: Income-oriented investors can learn more about dividend stocks and companies with a strong dividend potential when they pay the Zacks subscription cost.
• Risk-Conscious Investors: Many investors are concerned about managing risk, and Zacks Premium provides risk assessment tools to help in making these decisions.
• Sector-Specific Investors: Since Zacks Premium comes with information on specific industries and provides sector-specific insights, it’s useful for investors who want to focus on particular industries. 

Zacks Premium vs The Motley Fool 

Although the Zacks stock screener is one of the popular stock research services and a reliable stock ranking system, investors might be considering other famous alternatives like The Motley Fool. Motley Fool vs Zacks represent famous financial research services but are different. If you’re looking for a full in depth comparison check out our Zacks vs Motley Fool article.

One of the differences is their investment style, as Zacks Premium focuses on quantitative analysis and data, while The Motley Fool focuses on qualitative and quantitative analysis and a long-term trading perspective. Zacks Premium also focuses on data-based research, while The Motley Fool emphasizes education.

Another difference between them is their approach to risk tolerance. Zacks Premium offers tools for risk assessment and portfolio management. But with The Motley Fool its focus is a long-term approach, and this might come with higher volatility. 

The Motley Fool lets you know what you should buy by offering stock picks every month. But Zacks Research will not tell you what to buy. Instead, they will show you how all the stocks are rated so you can consider buying. 

Is Zacks Worth It? 

Before you register, you might be wondering if Zacks Premium is worth it? While it depends on your needs, it’s good to know that Zacks is a great fit for active investors who are savvy and knowledgeable but don’t want to go into the investment process alone. 

Zacks offers a wide range of opportunities for long-term trading and investing. This is especially true since it has a track record of beating the S&P 500’s average return. Their top-ranked stocks have seen an annual grain of 24.9% from 1988 to 2021, while the S&P 500 returns are 9.98%.

But, Zacks is mostly a research platform suitable for those who want to learn about different stocks and securities before they invest in them. So, you should consider whether you need these services or not. 

Bottom Line: Is Zacks Reliable? 

From our Zacks Premium review, you can see that it’s a well-rounded stock research service that offers in-depth research and a wide range of research and portfolio tools. Investors who need to carry out research or need some extra help in choosing stocks can benefit from Zacks. However, the high prices and lack of personalized portfolio recommendations might be discouraging for some investors. It all depends on your investment needs and goals. If you’re unsure about using Zacks, you can check out the 30-day free trial and get a feel of the services. But the bottom line is that Zacks is a reliable stock research tool. 

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