Conduent (CNDT) Is Attractively Priced Despite Fast-paced Momentum

Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than traditional "buying low and selling high" strategies, aiming for quicker profits [1] Group 1: Momentum Investing Characteristics - Momentum investing can be risky as stocks may lose momentum if their valuations exceed future growth potential, leading to potential losses for investors [2] - 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 [3] Group 2: Conduent (CNDT) Analysis - Conduent (CNDT) has shown a price increase of 7% over the past four weeks, indicating growing investor interest [4] - The stock has gained 29.6% over the past 12 weeks, demonstrating its ability to deliver positive returns over a longer timeframe [5] - CNDT has a beta of 1.48, suggesting it moves 48% more than the market in either direction, indicating fast-paced momentum [5] - With a Momentum Score of A, CNDT is positioned as a favorable entry point for investors looking to capitalize on momentum [6] Group 3: Earnings Estimates and Valuation - An upward trend in earnings estimate revisions has contributed to CNDT earning a Zacks Rank 2 (Buy), which is associated with strong momentum effects [7] - CNDT is trading at a Price-to-Sales ratio of 0.20, indicating it is relatively undervalued, as investors pay only 20 cents for each dollar of sales [7] Group 4: Additional Investment Opportunities - Besides CNDT, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, suggesting further investment opportunities [8] - The Zacks Premium Screens offer over 45 different strategies tailored to help investors find winning stock picks [9]