Workflow
Why Valmont Industries (VMI) is a Top Growth Stock for the Long-Term
ValmontValmont(US:VMI) ZACKSยท2024-08-30 14:46

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market strategies and confidence [1] - The Zacks Style Scores provide a unique rating system for stocks based on value, growth, and momentum characteristics [2][3][4] - The Zacks Rank is a proprietary model that utilizes earnings estimate revisions to help investors build successful portfolios [5][6] Zacks Style Scores - The Value Score identifies attractive and discounted stocks using ratios like P/E, PEG, and Price/Sales [2] - The Growth Score focuses on a company's future prospects by analyzing projected and historical earnings, sales, and cash flow [3] - The Momentum Score indicates favorable times to invest in high-momentum stocks based on price changes and earnings estimate trends [3] - The VGM Score combines all three Style Scores to provide a comprehensive indicator for stock selection [4] Zacks Rank and Style Scores Integration - Stocks with a Zacks Rank of 1 (Strong Buy) have historically produced an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [5] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal success [6] Company Spotlight: Valmont Industries (VMI) - Valmont Industries is engaged in producing fabricated metal products and mechanized irrigation systems, with a Zacks Rank of 3 (Hold) and a VGM Score of A [7] - The company forecasts a year-over-year earnings growth of 12.7% for the current fiscal year, supported by positive earnings estimate revisions [7] - Valmont Industries has an average earnings surprise of 15.9%, making it a potential pick for growth investors [7]