PRA Group (PRAA) Is Attractively Priced Despite Fast-paced Momentum

Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Strategy - Momentum investors often face challenges in determining the right entry point, as stocks may lose momentum when their valuations exceed future growth potential [2] - Investing in bargain stocks that exhibit recent price momentum can be a safer strategy, utilizing tools like the Zacks Momentum Style Score to identify potential opportunities [3] Group 2: PRA Group (PRAA) Analysis - PRAA has shown a four-week price change of 4.4%, indicating growing investor interest and recent price momentum [4] - Over the past 12 weeks, PRAA's stock has gained 5.6%, with a beta of 1.49, suggesting it moves 49% more than the market [5] - PRAA has a Momentum Score of A, indicating a favorable time to invest based on momentum [6] - The stock has received a Zacks Rank 1 (Strong Buy) due to upward revisions in earnings estimates, which typically attract more investors [7] - PRAA is trading at a Price-to-Sales ratio of 0.80, suggesting it is undervalued at 80 cents for each dollar of sales [7] Group 3: Additional Investment Opportunities - Besides PRAA, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [8] - Zacks offers over 45 Premium Screens tailored to different investing styles, which can assist in identifying winning stock picks [9]