While a strong dollar is nice for those looking to travel to Europe, it’s not so great for companies looking to sell goods and services abroad. For numerous reasons, the U.S. dollar has strengthened dramatically over the summer. With Wall Street ready to enter into the traditional summer vacation mode as we approach Labor Day, now may be the time to reset portfolios and to take into account how the stronger U.S. currency may affect your holdings.

In a new and comprehensive Jefferies report, the firm’s equity strategist Steven DeSanctis continues to prefer value stocks over growth as the group is showing solid earnings growth and breadth. He also prefers companies with the bulk of their sales in the United States, citing the stronger dollar and better domestic earnings growth.

Numerous stocks are selected as solid picks, but here we went with five that look like good values now. All are rated Buy at Jefferies.

Cerner

This solid health care stock has good upside potential, and many on Wall Street think the growth potential is not appreciated. Cerner Corp. (NASDAQ: CERN) offers hospitals and other health care providers a fully integrated scope of over 50 software applications, including its flagship Cerner Millennium solution. Software applications include traditional electronic medical record and computerized physician order entry solutions, along with other clinical information software for lab, radiology, pharmacy, emergency department and ambulatory care.

The company also develops software for financial and administrative applications such as patient accounting, registration and scheduling.

The Jefferies team sees the company coming away with big government contracts, with large orders specifically from VA hospitals around the nation. The company also could benefit from its partnership with Amazon, as the tech giant continues to expand its product offerings and capabilities.

The Jefferies price target for the stock is $70, and the Wall Street consensus target was last seen at $67.79. The stock closed Monday’s trading at $65.43 per share.

The Gap

This top retailer could be poised to benefit from the extra consumer spending. Gap Inc. (NYSE: GPS) sells private label merchandise through three main retail concepts: The Gap, Old Navy and Banana Republic, along with smaller growth vehicles Athleta and Intermix. The company also sells its products through its company websites. Most of its international stores are Gap stores, concentrated in Western Europe (France, United Kingdom), Japan, China and Canada. The company has over 3,500 stores worldwide.

The company announced this summer that Neil Fiske would take over the role of president and chief executive of its Gap brand. Fiske previously had been chief executive of Billabong, Eddie Bauer and Bath and Body Works. He will permanently replace Jeff Kerwin, who left the company in February.

Gap shareholders are paid a solid 3.02% dividend. Jefferies has a price target of $50, and the posted consensus target is much lower at $32.77. The stock closed trading at $32.17 on Monday.

Reliance Steel & Aluminum

Jefferies also is positive on this top service center play. Reliance Steel & Aluminum Co. (NYSE: RS) provides metals processing services and distributes a line of approximately 100,000 metal products, including alloy, aluminum, brass, copper, carbon steel, stainless steel, titanium and specialty steel products. Its primary processing services are cutting, leveling, sawing, machining and electropolishing.

The company also fabricates and distributes structural steel components and parts; provides metal components and inventory management services; and distributes alloy, carbon and stainless steel bar and plate products, as well as steel and nonferrous and aerospace metals, including aluminum, steel, titanium, nickel alloys and aluminum bronze, offering full or cut to size materials.

Reliance is the largest metals service center company in North America, operating in more than 200 locations. About half of its business is warehousing and the other half involves some sort of value-add processing or fabricating. Non-ferrous volume comprises about 30% of its annual shipments. The company tends to sell small spot-priced tons to customers, the majority requiring delivery within 24 hours.

Shareholders receive a solid 2.24% dividend. The $105 Jefferies price target compares with the $102.57 consensus target and the most recent close at $89.28 per share.

SVB Financial

This boutique financial services firm may be off many investors’ radar screens. SVB Financial Group (NASDAQ: SIVB) is a financial holding company that serves companies in the technology, life science, venture capital, private equity and premium wine industries, offering diversified financial services such as commercial, investment, international and private banking. Headquartered in Santa Clara, California, the company operates through offices in the United States and international operations in China, India, Israel and the United Kingdom.

Top analysts across Wall Street feel that the growth opportunity ahead of the bank is arguably even better relative to the past 10 to 15 years. With technology continuing to help drive the U.S. economy, this is a smart angle to play that continued growth.

Jefferies has set its price target at $360. The consensus target price is $358.74, and the stock closed Monday at $324.31 a share.

Ulta Beauty

If there is any stock to own in the discretionary sector, this may be the one. Ulta Salon Beauty Inc. (NASDAQ: ULTA) is a holding company for the Ulta Beauty group of companies. It is a beauty retailer that offers cosmetics, fragrance, skin care, hair care products and salon services. The company offers approximately 20,000 products from over 500 beauty brands across all categories, including its own private label. Ulta Beauty also offers a full-service salon in every store featuring hair, skin and brow services.

Ulta Beauty operates approximately 970 retail stores across over 48 states and the District of Columbia and also distributes its products through its website, which includes a collection of tips, tutorials and social content. The company offers makeup products, such as foundation, face powder, concealer, color correcting, face primer, blush, bronzer, contouring, highlighter, setting spray, shampoos, conditioners, hair styling products, hair styling tools and perfumes.

The Jefferies price target is $285. The consensus price objective is $270, and the shares closed most recently at $239.32 apiece.

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These five outstanding U.S.-oriented stock picks from the Jefferies analysts all have solid upside to the firm’s price targets. While better suited for more aggressive growth accounts, they all look like good picks for the rest of 2018 and beyond.

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