Forestar Group (FOR) Is Attractively Priced Despite Fast-paced Momentum

Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Strategy - Momentum investors often face challenges in determining the right entry point for fast-moving stocks, which can lead to investments with limited upside or potential downside [2] - A safer approach involves investing in bargain stocks that exhibit recent price momentum, utilizing tools like the Zacks Momentum Style Score to identify these opportunities [3] Group 2: Forestar Group (FOR) Analysis - Forestar Group (FOR) has shown a four-week price change of 2.2%, indicating growing investor interest and positioning it well in the market [4] - The stock has gained 0.6% over the past 12 weeks and has a beta of 1.42, suggesting it moves 42% more than the market in either direction, indicating strong momentum [5] - FOR has a Momentum Score of B, suggesting it is an opportune time to invest in the stock to capitalize on its momentum [6] Group 3: Earnings Estimates and Valuation - An upward trend in earnings estimate revisions has contributed to FOR earning a Zacks Rank 2 (Buy), which is associated with strong momentum effects as analysts raise earnings estimates [7] - FOR is trading at a Price-to-Sales ratio of 0.76, indicating it is relatively undervalued, as investors pay only 76 cents for each dollar of sales [7] Group 4: Additional Investment Opportunities - Besides FOR, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, suggesting further investment opportunities [8] - The Zacks Premium Screens offer over 45 different strategies to help identify potential winning stock picks based on individual investing styles [9]