Here is Why Growth Investors Should Buy Ryanair (RYAAY) Now

Core Viewpoint - Investors are increasingly seeking growth stocks, particularly in the financial sector, to achieve above-average returns, but identifying such stocks can be challenging due to inherent volatility and risks [1] Group 1: Growth Stock Identification - The Zacks Growth Style Score system aids in identifying promising growth stocks by analyzing real growth prospects beyond traditional metrics [2] - Ryanair (RYAAY) is currently highlighted as a recommended growth stock, possessing a favorable Growth Score and a top Zacks Rank [2] Group 2: Earnings Growth - Earnings growth is crucial for investors, with double-digit growth being a strong indicator of a company's potential [3] - Ryanair's historical EPS growth rate stands at 44.3%, with projected EPS growth of 30.4% this year, significantly surpassing the industry average of 14.3% [4] Group 3: Asset Utilization - The asset utilization ratio, or sales-to-total-assets (S/TA) ratio, is an important metric for growth stocks, reflecting efficiency in generating sales [5] - Ryanair's S/TA ratio is 0.82, indicating that the company generates $0.82 in sales for every dollar in assets, outperforming the industry average of 0.71 [5] Group 4: Sales Growth - Sales growth is another critical factor, with Ryanair expected to achieve a sales growth of 10.3% this year, compared to the industry average of 2% [6] Group 5: Earnings Estimate Revisions - Positive trends in earnings estimate revisions correlate strongly with stock price movements [7] - Ryanair has experienced upward revisions in current-year earnings estimates, with the Zacks Consensus Estimate increasing by 1.9% over the past month [7] Group 6: Overall Assessment - Ryanair has earned a Growth Score of B and holds a Zacks Rank 1 due to positive earnings estimate revisions, indicating its potential as a strong growth investment [8]