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 for fast-moving stocks, which can lose momentum if future growth does not justify high valuations [2] - Investing in bargain stocks that have recently shown price momentum can be a safer strategy, utilizing tools like the Zacks Momentum Style Score to identify potential opportunities [3] Group 2: Pediatrix Medical Group (MD) Analysis - Pediatrix Medical Group (MD) has shown a price increase of 1.4% over the past four weeks, indicating growing investor interest [4] - The stock has gained 4.4% over the past 12 weeks, with a beta of 1.49, suggesting it moves 49% more than the market [5] - MD has a Momentum Score of B, indicating a favorable time to invest based on momentum [6] Group 3: Earnings Estimates and Valuation - An upward trend in earnings estimate revisions has contributed to MD earning a Zacks Rank 1 (Strong Buy), which is associated with strong momentum effects [7] - MD is trading at a Price-to-Sales ratio of 0.61, suggesting it is undervalued as investors pay only 61 cents for each dollar of sales [7] Group 4: Additional Investment Opportunities - Besides MD, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting additional investment opportunities [8] - The Zacks Premium Screens offer over 45 different strategies to help identify potential winning stocks based on various investing styles [9]
Fast-paced Momentum Stock Pediatrix Medical Group (MD) Is Still Trading at a Bargain