Core Viewpoint - Zacks Premium offers various tools and resources to help investors make informed decisions and enhance their confidence in stock market investments [1][2]. Summary by Category Zacks Style Scores - Zacks Style Scores provide a rating system for stocks based on value, growth, and momentum characteristics, aiding investors in selecting securities likely to outperform the market in the short term [2][3]. Value Score - The Value Style Score focuses on identifying undervalued stocks by analyzing financial ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow, helping value investors find attractive investment opportunities [3]. Growth Score - The Growth Style Score evaluates stocks based on projected and historical earnings, sales, and cash flow, targeting companies with sustainable growth potential [4]. Momentum Score - The Momentum Style Score assesses stocks based on recent price changes and earnings estimate trends, assisting momentum investors in identifying favorable buying opportunities [5]. VGM Score - The VGM Score combines the Value, Growth, and Momentum Scores, providing a comprehensive rating that helps investors identify stocks with the best overall potential [6]. Zacks Rank - The Zacks Rank is a proprietary model that utilizes earnings estimate revisions to guide investors in building successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +23.81% since 1988, significantly outperforming the S&P 500 [7][10]. Stock Example: Vertex Pharmaceuticals - Vertex Pharmaceuticals, focused on developing drugs for serious diseases like cystic fibrosis, holds a 3 (Hold) Zacks Rank and a VGM Score of B. The stock has a Momentum Style Score of A, with an 8% increase in share price over the past four weeks [11]. - In the last 60 days, 11 analysts have raised their earnings estimates for Vertex for fiscal 2025, with the Zacks Consensus Estimate increasing by $0.59 to $18.40 per share, and the company has an average earnings surprise of +2% [12].
Here's Why Vertex Pharmaceuticals (VRTX) is a Strong Momentum Stock