Core Insights - Zacks Premium offers various tools for investors to enhance their stock market strategies, including daily updates, research reports, and stock screens [1][2] Zacks Style Scores - Zacks Style Scores provide a rating system for stocks based on value, growth, and momentum, helping investors identify securities likely to outperform the market in the short term [2][3] - Stocks are rated from A to F, with A indicating the highest potential for outperformance [3] Value Score - The Value Score focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, and Price/Sales [3] Growth Score - The Growth Score assesses a company's financial health and future growth potential by analyzing earnings, sales, and cash flow [4] Momentum Score - The Momentum Score evaluates stocks based on price trends and earnings estimate changes, aiding in timing investment decisions [5] VGM Score - The VGM Score combines the three Style Scores to identify stocks with the best overall value, growth, and momentum characteristics [6] Zacks Rank - 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, with an average annual return of +23.75% since 1988 [8] Stock Selection Strategy - To maximize returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [9] - Stocks with lower ranks (4 or 5) should be avoided, even if they have high Style Scores, due to declining earnings forecasts [10] Company Spotlight: MKS Inc. - MKS Inc. is a global provider of advanced manufacturing process control solutions, currently rated 3 (Hold) with a VGM Score of A [11] - The company has a Value Style Score of B, supported by a forward P/E ratio of 15.24, making it attractive to value investors [11] - Recent earnings estimates for fiscal 2025 have been revised upward, with the Zacks Consensus Estimate increasing by $0.32 to $6.94 per share, and an average earnings surprise of +15.9% [12]
Here's Why MKS (MKSI) is a Strong Value Stock