Core Insights - Zacks Premium offers various tools for investors to enhance their stock market strategies, including daily updates, research reports, and stock screens [1] - The Zacks Style Scores are designed to help investors select stocks with the highest potential for market outperformance over the next 30 days [1] Zacks Style Scores Overview - Each stock is rated from A to F based on value, growth, and momentum characteristics, with A being the highest score indicating better chances of outperforming the market [2] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [2][3][4] Value Score - The Value Score identifies attractive and discounted stocks using ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, appealing to value investors [2] Growth Score - The Growth Score assesses a company's future prospects and financial health by analyzing projected and historical earnings, sales, and cash flow [2] Momentum Score - The Momentum Score helps investors capitalize on price trends by evaluating one-week price changes and monthly earnings estimate changes [3] VGM Score - The VGM Score combines all three Style Scores, providing a comprehensive indicator for investors who utilize multiple investment strategies [4] Zacks Rank Integration - The Zacks Rank, based on earnings estimate revisions, has shown a strong historical performance, with 1 (Strong Buy) stocks yielding an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [5] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal investment potential [6] Company Spotlight: TripAdvisor (TRIP) - TripAdvisor, a leading online travel research company, is currently rated 3 (Hold) on the Zacks Rank with a VGM Score of B and a Value Style Score of B, indicating attractive valuation metrics [7] - The company has seen upward revisions in earnings estimates, with the Zacks Consensus Estimate increasing by $0.18 to $1.60 per share for fiscal 2024, alongside an average earnings surprise of 34.9% [7] - Given its solid Zacks Rank and favorable Style Scores, TripAdvisor is recommended for investors' consideration [8]
Why TripAdvisor (TRIP) is a Top Value Stock for the Long-Term