Here's Why Steris (STE) is a Strong Growth Stock

Core Insights - Zacks Premium provides various tools for investors to enhance their stock market strategies and confidence [1] - The Zacks Style Scores are designed to help investors select stocks with the highest potential to outperform the market in the short term [2] Zacks Style Scores Overview - The Style Scores categorize stocks based on value, growth, and momentum characteristics, assigning ratings from A to F [3] - Value Score focuses on identifying undervalued stocks using financial ratios like P/E and Price/Sales [4] - Growth Score emphasizes a company's financial health and future growth potential based on earnings and cash flow [5] - Momentum Score identifies trends in stock prices and earnings estimates to optimize entry points for investments [6] - VGM Score combines the three Style Scores to highlight stocks with the best overall characteristics [6] Zacks Rank and Style Scores Interaction - The Zacks Rank is a proprietary model that uses earnings estimate revisions to guide investors in stock selection [7] - Stocks rated 1 (Strong Buy) have historically outperformed the S&P 500, achieving an average annual return of +23.75% since 1988 [7] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal success [9] - The direction of earnings estimate revisions is crucial; stocks with lower ranks but high Style Scores may still face downward price pressure [10] Company Spotlight: Steris plc - Steris plc specializes in infection prevention and surgical support products, having rebranded after acquiring Synergy Health plc in 2015 [11] - Currently rated 3 (Hold) with a VGM Score of A, Steris is positioned as a potential growth investment [11] - The company forecasts a year-over-year earnings growth of 9.8% for the current fiscal year, supported by positive earnings estimate revisions [12] - Steris has an average earnings surprise of +2%, indicating strong performance relative to expectations [12]