ZACKS·2026-01-06 21:00Investment Strategy Overview - The investment approach emphasizes Richard Driehaus' "buy high and sell higher" theory, which aims to capture stocks with strong momentum for further upside potential [1] - Stocks like Kinross Gold Corporation (KGC) and Willdan Group, Inc. (WLDN) have shown significant upward trends, with share prices increasing by 203.8% and 172.2% respectively last year [2] Driehaus Strategy Details - Driehaus prefers investing in stocks that are increasing in price rather than those in decline, focusing on momentum indicators such as the 50-day moving average [3] - The strategy incorporates a positive relative strength indicator, suggesting that stocks trading above their 50-day moving average are in an uptrend [4] Screening Parameters - The strategy utilizes specific screening parameters, including a Zacks Rank of 1 (Strong Buy) and a Momentum Score of A or B, to identify stocks with the best upside potential [6] - Key metrics include last 5-year average EPS growth rates above 2%, trailing 12-month EPS growth greater than 0, and a positive percentage change in the 50-day moving average [8] Company Insights - Kinross Gold Corporation (KGC): Engaged in gold exploration and development across multiple countries, expected to benefit from rising gold prices and strong cash flows, with a trailing four-quarter earnings surprise of 17.4% on average [10] - Willdan Group, Inc. (WLDN): Provides professional and consulting services, leveraging AI-focused infrastructure acquisitions to enhance profits, with a trailing four-quarter earnings surprise of 58.1% on average [11]