Why Sanmina (SANM) is a Top Momentum Stock for the Long-Term

Core Insights - Zacks Premium offers tools to enhance investor confidence and market engagement through daily updates, rankings, and research reports [1][2] Zacks Style Scores - Zacks Style Scores are indicators that rate stocks based on value, growth, and momentum methodologies, helping investors identify stocks likely to outperform in the next 30 days [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 outlook by analyzing projected and historical earnings, sales, and cash flow [4] Momentum Score - The Momentum Score identifies optimal entry points for stocks based on price trends and earnings estimate changes [5] VGM Score - The VGM Score combines the three Style Scores to highlight stocks with attractive value, strong growth forecasts, and positive momentum [6] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to aid in stock selection, with 1 (Strong Buy) stocks achieving an average annual return of +23.64% since 1988, significantly outperforming the S&P 500 [7][9] - There are over 800 stocks rated 1 or 2, making it essential to utilize Style Scores for effective selection [8] Company Spotlight: Sanmina Corporation - Sanmina Corporation, based in San Jose, CA, provides electronics contract manufacturing services across various sectors, including industrial, medical, and aerospace [11] - Currently rated 3 (Hold) with a VGM Score of A, Sanmina has a Momentum Style Score of B and has seen a 2% increase in shares over the past four weeks [12] - Recent upward revisions in earnings estimates for fiscal 2025 have increased the Zacks Consensus Estimate by $0.07 to $5.94 per share, with an average earnings surprise of +4.9% [12][13]