The Best Momentum Stocks to Buy in December

Core Insights - The artificial intelligence sector is seeing renewed investor interest as the Nasdaq attempts to recover above its 50-day moving average heading into December [1] - Strong earnings growth and anticipated Federal Reserve interest rate cuts are supporting a bullish outlook for the stock market, encouraging investors to re-enter [2] - Investors are advised to focus on stocks that have demonstrated resilience in the current market environment rather than on beaten-down stocks [3] Stock Screening Methodology - A screening method using the Research Wizard identifies Zacks Rank 1 (Strong Buy) stocks, narrowing down to those with upward price momentum and trading within 20% of their 52-week highs [4][5] - The screening criteria include a PEG ratio of less than or equal to 1, a Price to Sales ratio of less than or equal to 3, and a percentage price change over the last 12 weeks [8] Featured Stock: Sanmina Corporation (SANM) - Sanmina Corporation is highlighted as a leading integrated manufacturing tech solutions firm, recently acquiring ZT Systems to enhance its capabilities in the Cloud and AI markets [6][7] - The company reported a 7% increase in sales and a 14% rise in adjusted earnings year-over-year for Q4 FY25, with projections indicating a 72% revenue increase in FY26 and a 60% boost in adjusted earnings [9][10] - SANM stock has appreciated 100% in 2025 and 560% over the past decade, outperforming the tech sector's 405% growth [11]