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Why Monolithic Power (MPWR) is a Top Momentum Stock for the Long-Term
MPSMPS(US:MPWR) ZACKSยท2025-06-19 14:56

Core Insights - Zacks Premium provides tools for investors to enhance their stock market engagement and confidence, including daily updates, research reports, and stock screens [1][2] Zacks Style Scores - Zacks Style Scores rate stocks based on value, growth, and momentum, serving as complementary indicators to the Zacks Rank, helping investors identify securities likely to outperform the market in the next 30 days [2][3] Value Score - The Value Style Score focuses on identifying undervalued stocks by analyzing ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow, highlighting attractive investment opportunities [3] Growth Score - The Growth Style Score assesses a company's financial health and future outlook by examining projected and historical earnings, sales, and cash flow to find stocks with sustainable growth potential [4] Momentum Score - The Momentum Style Score capitalizes on price trends, utilizing factors like one-week price changes and monthly earnings estimate changes to identify favorable times for investment in high-momentum stocks [5] VGM Score - The VGM Score combines all three Style Scores, providing a comprehensive indicator that evaluates stocks based on their value, growth, and momentum, helping investors narrow down the best opportunities [6] Zacks Rank - The Zacks Rank is a proprietary model that leverages earnings estimate revisions to assist investors in building successful portfolios, with 1 (Strong Buy) stocks historically yielding an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [7][8] - There are typically over 800 top-rated stocks available, making it essential for investors to select those with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal success [9] Company Spotlight: Monolithic Power Systems (MPWR) - Monolithic Power Systems, located in Kirkland, WA, specializes in high-performance power solutions and integrated circuits, currently holding a Zacks Rank of 3 (Hold) with a VGM Score of B [11] - The company has seen upward revisions in earnings estimates, with the Zacks Consensus Estimate for fiscal 2025 increasing by $0.11 to $17.08 per share, and an average earnings surprise of 2.2% [12]