Why Goldman Sachs (GS) is a Top Momentum Stock for the Long-Term
Goldman SachsGoldman Sachs(US:GS) ZACKS·2025-10-06 14:51

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market strategies and confidence [1] - The Zacks Style Scores provide a unique rating system for stocks based on value, growth, and momentum, aiding in identifying securities likely to outperform the market [2] Zacks Style Scores Overview - Stocks are rated from A to F based on their value, growth, and momentum characteristics, with A being the highest score indicating better chances of outperforming [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score [3][4][5][6] Value Score - Focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - Concentrates on a company's financial health and future growth potential by analyzing projected and historical earnings, sales, and cash flow [4] Momentum Score - Targets stocks experiencing upward or downward trends, utilizing factors like short-term price changes and earnings estimate revisions [5] VGM Score - Combines all three Style Scores to provide a comprehensive rating, helping investors find stocks with attractive value, growth forecasts, and momentum [6] Zacks Rank Integration - The Zacks Rank uses earnings estimate revisions to guide investors in stock selection, with 1 (Strong Buy) stocks historically yielding an average annual return of +23.81% since 1988, outperforming the S&P 500 [7] - Investors are encouraged to focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal returns [9] Company Spotlight: Goldman Sachs - Goldman Sachs is a leading global financial holding company, currently rated 3 (Hold) on the Zacks Rank with a VGM Score of B [11] - The company has a Momentum Style Score of A, with shares increasing by 7% over the past four weeks, and upward revisions in earnings estimates for fiscal 2025 [12] - The Zacks Consensus Estimate for Goldman Sachs has risen by $1.01 to $46.63 per share, with an average earnings surprise of +24.4% [12]