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Why AAR (AIR) is a Top Growth Stock for the Long-Term
AIRAAR(AIR) ZACKS·2025-01-13 15:46

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market engagement and confidence [1] - The Zacks Style Scores are designed to complement the Zacks Rank, providing additional metrics for stock selection [2] Zacks Style Scores Overview - Stocks are rated A, B, C, D, or F based on value, growth, and momentum characteristics, with higher scores indicating better chances of outperforming the market [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score [3][4][5][6] Value Score - Focuses on identifying undervalued stocks using ratios like P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - Analyzes projected and historical earnings, sales, and cash flow to identify stocks with sustainable growth potential [4] Momentum Score - Utilizes price trends and earnings estimate changes to identify favorable times for investing in high-momentum stocks [5] VGM Score - Combines the three Style Scores to highlight stocks with attractive value, strong growth forecasts, and promising momentum [6] Zacks Rank Integration - The Zacks Rank leverages earnings estimate revisions to guide investors in building successful portfolios [7] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [8] Stock to Watch: AAR Corp. - AAR Corp. operates in the aviation and defense industries, serving major clients like Boeing and Airbus, and has a global presence in over 20 countries [11] - Currently rated 2 (Buy) with a VGM Score of A, AAR Corp. is projected to achieve year-over-year earnings growth of 12.6% for the current fiscal year [12] - The company has seen positive earnings estimate revisions and an average earnings surprise of 3.9%, making it a strong candidate for growth investors [12][13]