Guess (GES) Shows Fast-paced Momentum But Is Still a Bargain Stock

Core Insights - Momentum investing contrasts with the traditional "buy low and sell high" strategy, focusing instead on "buying high and selling higher" to capitalize on fast-moving stocks [1] - Identifying the right entry point for momentum stocks can be challenging, as they may lose momentum if future growth does not justify their high valuations [1] Group 1: Momentum Investing Strategy - Investing in bargain stocks that have recently shown price momentum can be a safer approach [2] - The Zacks Momentum Style Score is effective in identifying strong momentum stocks, while the 'Fast-Paced Momentum at a Bargain' screen helps find attractively priced fast-moving stocks [2] Group 2: Case Study - Guess (GES) - Guess (GES) has shown a price increase of 0.1% over the past four weeks, indicating growing investor interest [3] - GES has gained 1.4% over the past 12 weeks, demonstrating its ability to deliver positive returns over a longer timeframe [4] - The stock has a beta of 1.28, suggesting it moves 28% higher than the market in either direction [4] Group 3: Valuation and Earnings Estimates - GES has a Momentum Score of A, indicating a favorable time to invest based on momentum [5] - An upward trend in earnings estimate revisions has contributed to GES earning a Zacks Rank 2 (Buy), which is associated with strong momentum effects [6] - GES is trading at a Price-to-Sales ratio of 0.28, meaning investors pay 28 cents for each dollar of sales, indicating a reasonable valuation [6] Group 4: Additional Opportunities - GES is not the only stock that meets the 'Fast-Paced Momentum at a Bargain' criteria; there are several other stocks worth considering [7] - Investors can explore over 45 Zacks Premium Screens tailored to different investing styles to identify potential winning stocks [8]