Here's Why Colgate-Palmolive (CL) is a Strong Momentum Stock

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market strategies and confidence [1] - The Zacks Style Scores provide a rating system for stocks based on value, growth, and momentum, helping investors identify stocks likely to outperform the market [2][3][4] Zacks Style Scores - The Value Score identifies attractive stocks using ratios like P/E, PEG, and Price/Sales, focusing on undervalued stocks [2] - The Growth Score assesses a company's financial health and future outlook, analyzing projected and historical earnings, sales, and cash flow [3] - The Momentum Score capitalizes on price trends, using factors like one-week price change and monthly earnings estimate changes to identify high-momentum stocks [3] - The VGM Score combines the three Style Scores, providing a comprehensive rating based on value, growth, and momentum [4] Zacks Rank and Style Scores Integration - The Zacks Rank utilizes earnings estimate revisions to help investors build successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +25.41% since 1988 [5] - Stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B are recommended for higher return potential [6] - Stocks with lower ranks but high Style Scores may still face downward price pressure due to negative earnings forecasts [6] Company Spotlight: Colgate-Palmolive (CL) - Colgate-Palmolive is focusing on innovation and expanding its Naturals product range in response to consumer demand for organic ingredients, achieving a global household penetration of 61.6% [7] - The company holds a Zacks Rank of 2 (Buy) and a VGM Score of B, with a Momentum Style Score of A, indicating strong performance potential [7][8] - Recent upward revisions in earnings estimates for fiscal 2024 have increased the Zacks Consensus Estimate to $3.52 per share, with an average earnings surprise of 4.4% [7]