Group 1: Momentum Investing Overview - Momentum investing contrasts with the traditional "buy low and sell high" strategy, focusing instead on "buying high and selling higher" to capitalize on fast-moving stocks [1] - Identifying the right entry point for momentum stocks is challenging, as they may lose momentum if their valuations exceed future growth potential [1] Group 2: Investment Strategy - A safer approach involves investing in bargain stocks that exhibit recent price momentum, utilizing tools like the Zacks Momentum Style Score to identify such opportunities [2] - The 'Fast-Paced Momentum at a Bargain' screen helps in spotting fast-moving stocks that remain attractively priced [2] Group 3: Empresa (EDN) Stock Analysis - Empresa (EDN) has shown a price increase of 17.9% over the past four weeks, indicating growing investor interest [3] - Over the past 12 weeks, EDN's stock gained 38%, demonstrating its ability to deliver positive returns over a longer timeframe [4] - EDN has a beta of 1.39, suggesting it moves 39% higher than the market in either direction, indicating fast-paced momentum [4] Group 4: Performance Metrics - EDN has a Momentum Score of A, suggesting it is an opportune time to invest in the stock for maximum success probability [5] - The stock has a Zacks Rank 2 (Buy) due to upward trends in earnings estimate revisions, which attract more investor interest [6] - EDN is trading at a Price-to-Sales ratio of 0.49, indicating it is relatively cheap, as investors pay only 49 cents for each dollar of sales [6] Group 5: Additional Opportunities - Besides EDN, there are several other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [7] - Investors can explore over 45 Zacks Premium Screens tailored to different investing styles to identify potential winning stocks [8]
Why Fast-paced Mover Empresa (EDN) Is a Great Choice for Value Investors