Here's Why Momentum in New Oriental (EDU) Should Keep going

Core Viewpoint - The article emphasizes the importance of confirming the sustainability of stock trends for profitable short-term investing, highlighting the utility of a "Recent Price Strength" screen to identify stocks with strong fundamentals and upward momentum [1]. Group 1: Stock Performance - New Oriental Education (EDU) has shown a solid price increase of 17% over the past 12 weeks, indicating investor confidence in its potential upside [2]. - The stock has maintained a price increase of 1% over the last four weeks, suggesting that the upward trend is still intact [2]. - EDU is currently trading at 86.2% of its 52-week High-Low Range, indicating it may be on the verge of a breakout [2]. Group 2: Fundamental Strength - EDU carries a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, which are critical for near-term price movements [3]. - The Zacks Rank system has a strong track record, with Zacks Rank 1 stocks averaging an annual return of +25% since 1988 [3]. - The Average Broker Recommendation for EDU is 1 (Strong Buy), reflecting high optimism from the brokerage community regarding its near-term price performance [3]. Group 3: Investment Strategy - The article suggests that investors should consider other stocks that pass the "Recent Price Strength" screen, indicating a broader strategy for identifying potential winning stocks [4]. - The Zacks Premium Screens offer over 45 strategically created options to help investors find stocks that could outperform the market [4].