Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than traditional strategies of "buying low and selling high" [1][2] Group 1: Momentum Investing Strategy - Momentum investors typically do not time the market, instead they capitalize on stocks that are already trending upwards [1] - The challenge lies in determining the right entry point, as stocks can lose momentum if their valuations exceed future growth potential [2] Group 2: Investment Opportunities - A safer approach involves investing in bargain stocks that exhibit recent price momentum, identified through the Zacks Momentum Style Score [3] - LATAM (LTM) is highlighted as a strong candidate, showing a four-week price change of 1.8% and a 12-week gain of 2.3% [4][5] - LTM has a high beta of 3.49, indicating it moves 249% more than the market, suggesting significant volatility [5] Group 3: Performance Metrics - LTM has a Momentum Score of A, indicating a favorable time to invest based on momentum [6] - The stock has a Zacks Rank 1 (Strong Buy) due to upward revisions in earnings estimates, which attract more investor interest [7] - LTM is trading at a Price-to-Sales ratio of 0.73, suggesting it is undervalued at 73 cents for each dollar of sales [7] Group 4: Additional Opportunities - Besides LTM, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [8] - The Zacks Premium Screens offer over 45 different strategies tailored to outperform the market [9]
Fast-paced Momentum Stock LATAM (LTM) Is Still Trading at a Bargain