Why Seagate (STX) is a Top Growth Stock for the Long-Term

Core Insights - Zacks Premium offers 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 into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [3][4][5][6] - Value Score identifies undervalued stocks using financial ratios [3] - Growth Score assesses a company's future earnings and financial health [4] - Momentum Score evaluates trends in stock prices and earnings estimates [5] - VGM Score combines all three styles to provide a comprehensive rating [6] Zacks Rank and Performance - The Zacks Rank is a proprietary model that leverages earnings estimate revisions to guide investment decisions [7] - Stocks rated 1 (Strong Buy) have historically achieved an average annual return of +23.75% since 1988, significantly outperforming the S&P 500 [8] - There are over 800 stocks rated 1 or 2, making it essential for investors to utilize Style Scores to narrow down choices [9] Investment Strategy - For optimal returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [10] - Stocks with lower ranks (3, 4, 5) should still have favorable Style Scores to maximize potential [11] Company Spotlight: Seagate (STX) - Seagate, based in Dublin, Ireland, specializes in data storage technology, primarily hard disk drives (HDDs) [12] - Currently rated 3 (Hold) with a VGM Score of B, Seagate shows promise for growth investors [12] - The company forecasts a year-over-year earnings growth of 27.2% for the current fiscal year, with recent earnings estimates revised upward [13] - Seagate's average earnings surprise stands at +7%, making it a noteworthy option for investors [13]