Despite Fast-paced Momentum, Kimball Electronics (KE) Is Still a Bargain Stock

Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Strategy - Momentum investors often face challenges in determining the right entry point for fast-moving stocks, which can lead to investments with limited upside or potential downside [2] - A safer approach may involve investing in bargain stocks that have recently shown price momentum, utilizing tools like the Zacks Momentum Style Score to identify promising candidates [3] Group 2: Kimball Electronics (KE) Analysis - Kimball Electronics (KE) has shown a price increase of 1.6% over the past four weeks, indicating growing investor interest [4] - Over the past 12 weeks, KE's stock has gained 7.4%, with a beta of 1.26, suggesting it moves 26% more than the market [5] - KE has a Momentum Score of A, indicating a favorable time to invest based on momentum [6] Group 3: Earnings Estimates and Valuation - KE has received upward revisions in earnings estimates, earning a Zacks Rank 1 (Strong Buy), which is associated with strong momentum effects [7] - The stock is currently trading at a Price-to-Sales ratio of 0.48, suggesting it is undervalued as investors pay only 48 cents for each dollar of sales [7] Group 4: Additional Investment Opportunities - Besides KE, 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]