Core Insights - Zacks Premium offers various tools to help investors make informed decisions and enhance their confidence in the stock market [1] - The Zacks Style Scores provide a unique rating system for stocks based on value, growth, and momentum characteristics, aiding investors in selecting securities with high potential for market outperformance [2][3] Zacks Style Scores - Stocks are rated from A to F based on their value, growth, and momentum, with A being the highest score indicating a better chance of outperforming the market [3] - The Value Score identifies attractive and discounted stocks using ratios like P/E, PEG, and Price/Sales [4] - The Growth Score focuses on a company's financial strength and future outlook, analyzing projected and historical earnings, sales, and cash flow [5] - The Momentum Score helps investors capitalize on price trends by evaluating recent price changes and earnings estimate shifts [6] - The VGM Score combines the three Style Scores to highlight stocks with the best value, growth, and momentum characteristics [6] Zacks Rank - The Zacks Rank is a proprietary model that leverages earnings estimate revisions to assist investors in building successful portfolios [7] - Stocks rated 1 (Strong Buy) have historically achieved an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [8] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal returns [9] Company Spotlight: Verizon Communications - Verizon Communications Inc. is a major player in the communication services sector, providing local phone, long-distance, wireless, and data services [11] - The company holds a Zacks Rank of 3 (Hold) and a VGM Score of B, indicating a solid position in the market [12] - Verizon's Value Style Score is B, supported by a forward P/E ratio of 9.67, making it attractive for value investors [12] - Recent earnings estimates for fiscal 2025 have been revised upward, with the Zacks Consensus Estimate now at $4.69 per share, alongside an average earnings surprise of 1.3% [12][13]
Here's Why Verizon Communications (VZ) is a Strong Value Stock