What Makes Arcutis Biotherapeutics, Inc. (ARQT) a Strong Momentum Stock: Buy Now?

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Overview: Arcutis Biotherapeutics, Inc. (ARQT) - Arcutis Biotherapeutics, Inc. currently holds a Momentum Style Score of B, indicating a favorable momentum outlook [3] - The company has a Zacks Rank of 2 (Buy), suggesting strong potential for outperformance in the market [4] Performance Metrics - Over the past week, ARQT shares increased by 1.79%, while the Zacks Medical - Biomedical and Genetics industry declined by 1.12% [6] - In a longer timeframe, ARQT's monthly price change is 23.84%, significantly outperforming the industry's 0.25% [6] - Over the last quarter, ARQT shares rose by 75.37%, and over the past year, they increased by 126.31%, compared to the S&P 500's gains of 5.34% and 14.25%, respectively [7] Trading Volume - The average 20-day trading volume for ARQT is 2,339,047 shares, which serves as a bullish indicator when combined with rising stock prices [8] Earnings Outlook - In the past two months, three earnings estimates for ARQT have been revised upward, while none have been lowered, leading to an increase in the consensus estimate from -$0.44 to -$0.24 [10] - For the next fiscal year, three estimates have also moved upwards with no downward revisions [10] Conclusion - Considering the positive performance metrics and earnings outlook, ARQT is positioned as a 2 (Buy) stock with a Momentum Score of B, making it a potential candidate for near-term investment [12]