For Immediate Release

Chicago, IL – July 9, 2025 – The stocks in this week’s article are Balfour Beatty Plc BLFBY, Soho House & Co Inc. SHCO and Euroseas Ltd. ESEA.

Buy These 3 Stocks with Rising Cash Flows Ahead of Q2 Earnings

Crunching profit numbers and evaluating surprises might be a preferred method for scooping up big gains in the impending Q2 earnings season. However, looking beyond profits and assessing a company’s cash position can be far more rewarding because it indicates its true financial health.

In this regard, stocks such as Balfour Beatty Plc, Soho House & Co Inc. and Euroseas Ltd. are worth buying.

Even a profitable business can fail if its cash flow is uneven and eventually file for bankruptcy. Nevertheless, a company with a healthy cash position has the capability to effectively tide over any market mayhem and still be on its growth curve, alongside enjoying the flexibility to make decisions, chase potential investments and run its growth engine.

Moreover, analyzing a company’s cash-generating efficiency holds more relevance in the current context amid uncertainties in the global economy, market disruptions and dislocations, as well as liquidity concerns.

To figure out this efficiency, one needs to consider a company’s net cash flow. While in any business, cash moves in and out, it is net cash flow that explains how much money a company is actually generating.

If a company is experiencing a positive cash flow, it denotes an increase in its liquid assets, which gives it the means to meet debt obligations, shell out for expenses, reinvest in the business, endure downturns and finally return wealth to shareholders. On the other hand, a negative cash flow indicates a decline in the company’s liquidity, which in turn lowers its flexibility to support these moves.

However, having a positive cash flow merely does not secure a company’s future growth. To ride on the growth curve, a company must have its cash flow increasing because that indicates management’s efficiency in regulating its cash movements and less dependency on outside financing for running its business.

Therefore, keep yourself abreast with the following screen to bet on stocks with rising cash flows.

Here are three out of the five stocks that qualified for the screening:

Balfour Beatty plc is an infrastructure services company. Its operating segments consist of Construction Services, Support Services and Infrastructure Investments.

The Zacks Consensus Estimate for 2025 earnings per share has improved 2.6% over the past month. BLFBY has a VGM Score of A.

Story Continues

Soho House & Co Inc. provides a membership platform of physical and digital spaces, fostering connections among a dynamic, diverse and global group of members. These members use the Soho House & Co platform to work, socialize, connect, create and flourish.

The Zacks Consensus Estimate for Soho House & Co’s 2025 revenues is pegged at $1.28 billion, suggesting an increase of 6.3% from the year-ago reported figure. SHCO has a VGM Score of B.

Euroseas is an owner and operator of container carrier vessels and a provider of seaborne transportation for containerized cargoes.

The Zacks Consensus Estimate for Euroseas’ current-year earnings has moved 3.8% north in the past month. ESEA currently has a VGM Score of B.

Get the rest of the stocks on the list and start putting this and other ideas to the test. It can all be done with the Research Wizard stock picking and back-testing software.

The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.

Click here to sign up for a free trial to the Research Wizard today.

For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/2567465/buy-these-3-stocks-with-rising-cash-flows-ahead-of-q2-earnings

Follow us on Twitter:  https://www.twitter.com/zacksresearch

Join us on Facebook:  https://www.facebook.com/ZacksInvestmentResearch

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.

Contact: Jim Giaquinto

Company: Zacks.com

Phone: 312-265-9268

Email: [email protected]

Visit: https://www.zacks.com/

Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.

Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Euroseas Ltd. (ESEA):Free Stock Analysis Report

Soho House & Co Inc. (SHCO):Free Stock Analysis Report

Balfour Beatty PLC Sponsored ADR (BLFBY):Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research

View Comments