Why BankUnited, Inc. (BKU) is a Top Momentum Stock for the Long-Term

Core Insights - Zacks Premium provides various tools for investors to enhance their stock market strategies, including daily updates, research reports, and stock screens [1] - The Zacks Style Scores are designed to help investors identify stocks with the potential to outperform the market within a 30-day timeframe [2] Zacks Style Scores Overview - The Style Scores categorize stocks into four main types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [3][4][5][6] - Value Score emphasizes finding undervalued stocks using financial ratios [3] - Growth Score focuses on a company's financial health and future growth potential [4] - Momentum Score identifies stocks with favorable price trends and earnings outlooks [5] - VGM Score combines the three styles to highlight stocks with attractive value, growth, and momentum characteristics [6] Zacks Rank and Performance - The Zacks Rank is a proprietary model that leverages earnings estimate revisions to guide investors in stock selection [7] - Stocks rated 1 (Strong Buy) have historically achieved an average annual return of +23.81% since 1988, significantly outperforming the S&P 500 [8] - There are over 800 stocks rated 1 and 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 a 3 (Hold) rank should also have A or B Style Scores to maximize upside potential [10] - The direction of earnings estimate revisions is crucial when selecting stocks, as lower-ranked stocks may still decline despite high Style Scores [11] Company Spotlight: BankUnited, Inc. - BankUnited, Inc. is headquartered in Miami Lakes, FL, and was established in 2009 through an acquisition from the FDIC [12] - Currently rated 3 (Hold) with a VGM Score of B, BankUnited has a Momentum Style Score of A and has seen a 0.9% increase in shares over the past four weeks [12][13] - The Zacks Consensus Estimate for fiscal 2025 has been revised upwards to $3.31 per share, with an average earnings surprise of +14.9% [13]