STRATTEC(US:STRT) ZACKS·2026-02-11 18:45Core Viewpoint - Growth stocks are appealing due to their potential for above-average financial growth, but identifying those that can fulfill their potential is challenging [1] Group 1: Growth Stock Identification - The Zacks Growth Style Score system aids in identifying promising growth stocks by analyzing real growth prospects beyond traditional metrics [2] - Strattec Security (STRT) is highlighted as a recommended stock with a favorable Growth Score and a top Zacks Rank [2] Group 2: Earnings Growth - Earnings growth is crucial for investors, with double-digit growth being particularly desirable as it indicates strong future prospects [3] - Strattec Security has a historical EPS growth rate of 20%, with projected EPS growth of 16.2% this year, surpassing the industry average of 15.6% [4] Group 3: Cash Flow Growth - High cash flow growth is essential for growth-oriented companies, allowing them to fund new projects without relying on external financing [5] - Strattec Security's year-over-year cash flow growth is 11.7%, significantly higher than the industry average of -4.3% [5] - The company's annualized cash flow growth rate over the past 3-5 years is 18.2%, compared to the industry average of 2.9% [6] Group 4: Earnings Estimate Revisions - Positive trends in earnings estimate revisions are correlated with stock price movements, making them an important consideration for investors [7] - Strattec Security has seen a 19.3% increase in current-year earnings estimates over the past month [7] Group 5: Overall Assessment - Strattec Security has achieved a Growth Score of A and a Zacks Rank 1 due to positive earnings estimate revisions, indicating it is a strong candidate for growth investors [9]