Why Barclays (BCS) is a Top Momentum Stock for the Long-Term

Core Insights - The Zacks Style Scores are complementary indicators that help investors select stocks with the best chances of outperforming the market over the next 30 days [2] - Stocks are rated from A to F based on value, growth, and momentum characteristics, with higher scores indicating a better chance of outperforming [3] Value Score - The Value Style Score identifies attractive and discounted stocks using ratios like P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - The Growth Style Score focuses on a company's financial strength and future outlook, analyzing projected and historical earnings, sales, and cash flow [4] Momentum Score - The Momentum Style Score helps investors capitalize on price or earnings trends, utilizing factors like one-week price change and monthly earnings estimate changes [5] VGM Score - The VGM Score combines the three Style Scores, rating stocks based on their overall value, growth forecast, and momentum, serving as a strong indicator alongside the Zacks Rank [6] Zacks Rank - The Zacks Rank is a proprietary stock-rating model that leverages earnings estimate revisions to assist investors in building successful portfolios [7] - Stocks rated 1 (Strong Buy) have produced an average annual return of +23.64% since 1988, significantly outperforming the S&P 500 [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 [10] - Stocks with a 3 (Hold) rank should also have Style Scores of A or B to ensure potential upside [10] Earnings Estimate Revisions - The direction of earnings estimate revisions is crucial when selecting stocks, as stocks with lower ranks but high Style Scores may still face declining share prices [11] Company Spotlight: Barclays PLC - Barclays PLC, headquartered in London, has total assets of £1,598.7 billion ($2,192.3 billion) as of June 30, 2025 [12] - Barclays is rated 3 (Hold) with a VGM Score of B and a Momentum Style Score of B, with shares up 0.2% over the past four weeks [12] - Two analysts have revised earnings estimates upwards for fiscal 2025, increasing the Zacks Consensus Estimate by $0.06 to $2.31 per share, with an average earnings surprise of +36.5% [13]