Why Maximus (MMS) is a Top Momentum Stock for the Long-Term

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market engagement and confidence [1] - The Zacks Style Scores serve as complementary indicators to the Zacks Rank, aiding investors in selecting stocks with high potential for market outperformance [2] Zacks Style Scores Overview - Stocks are rated A, B, C, D, or F based on value, growth, and momentum characteristics, with higher scores indicating better chances of outperforming the market [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score [3][4][5][6] Value Score - Focuses on identifying undervalued stocks using ratios like P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - Analyzes projected and historical earnings, sales, and cash flow to find stocks with sustainable growth potential [4] Momentum Score - Utilizes price changes and earnings estimate trends to identify favorable buying opportunities for high-momentum stocks [5] VGM Score - Combines all three Style Scores to provide a comprehensive indicator for selecting stocks with attractive value, growth forecasts, and promising momentum [6] Zacks Rank Integration - The Zacks Rank leverages earnings estimate revisions to help investors build successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +23.81% since 1988 [7] - There can be over 800 top-rated stocks available, making it essential to use Style Scores for effective selection [8] Stock Highlight: Maximus (MMS) - Maximus, a government health and human services provider, holds a Zacks Rank of 2 (Buy) and a VGM Score of A [11] - The company has a Momentum Style Score of B, with shares increasing by 13.9% in the past four weeks and a consensus earnings estimate rising to $8.19 per share [12]