Fast-paced Momentum Stock 3D Systems (DDD) Is Still Trading at a Bargain

Core Viewpoint - Momentum investing focuses on "buying high and selling higher," contrasting with traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Characteristics - Momentum investing can be risky as stocks may lose momentum when their valuations exceed future growth potential, leading to potential losses for investors [2] - A safer approach may involve investing in bargain stocks that are experiencing recent price momentum, utilizing tools like the Zacks Momentum Style Score to identify such opportunities [3] Group 2: Case Study - 3D Systems (DDD) - 3D Systems (DDD) has shown significant price movement, with a 13.7% increase over the past four weeks, indicating growing investor interest [4] - Over the past 12 weeks, DDD's stock has gained 61.2%, with a beta of 2.09, suggesting it moves 109% higher than the market on average [5] - DDD has a Momentum Score of B, indicating a favorable time to invest based on its momentum characteristics [6] Group 3: Earnings Estimates and Valuation - DDD's upward trend in earnings estimate revisions has contributed to its Zacks Rank 2 (Buy), as analysts raising estimates typically attract more investor interest [7] - The stock is currently trading at a Price-to-Sales ratio of 0.70, suggesting it is undervalued at 70 cents for each dollar of sales, providing room for further price appreciation [7] Group 4: Additional Investment Opportunities - Besides DDD, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting additional investment opportunities [8] - Investors can explore over 45 Zacks Premium Screens tailored to different investing styles to identify potential winning stocks [9]