Popular (BPOP) is a Top-Ranked Momentum Stock: Should You Buy?

Core Insights - Zacks Premium offers tools for investors to enhance their stock market engagement and confidence through various resources like daily updates, research reports, and stock screens [1] Zacks Style Scores - Zacks Style Scores are indicators that rate stocks based on value, growth, and momentum methodologies, aiding investors in selecting stocks likely to outperform the market in the next 30 days [2] - Stocks receive an alphabetic rating from A to F, with A indicating the highest potential for outperformance [3] Value Score - The Value Style Score focuses on identifying undervalued stocks by analyzing ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - The Growth Style Score assesses a company's financial health and future outlook by examining projected and historical earnings, sales, and cash flow [4] Momentum Score - The Momentum Style Score identifies optimal times to invest based on price trends and earnings estimate changes [5] VGM Score - The VGM Score combines all three Style Scores, providing a comprehensive indicator for evaluating stocks based on value, growth, and momentum [6] Zacks Rank - The Zacks Rank is a proprietary model that utilizes earnings estimate revisions to assist investors in building successful portfolios [7] - Stocks rated 1 (Strong Buy) have historically achieved an average annual return of +23.83% since 1988, significantly outperforming the S&P 500 [8] Stock Selection Strategy - To maximize returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [9] - Stocks with lower ranks, even if they have high Style Scores, may still face downward price trends [10] Company Spotlight: Popular, Inc. - Popular, Inc. (BPOP) is a financial services provider with a Zacks Rank of 2 (Buy) and a VGM Score of B, making it attractive for momentum investors [11] - BPOP's shares have increased by 10.2% over the past four weeks, and its earnings estimate for fiscal 2026 has risen by $0.56 to $14.31 per share [12] - The company has an average earnings surprise of +11.8%, indicating strong performance potential [12]