Avery Dennison (AVY) is a Top-Ranked Momentum Stock: Should You Buy?

Core Insights - Zacks Premium offers various tools to enhance investor confidence and market engagement, including daily updates on Zacks Rank and Industry Rank, Equity Research reports, and Premium stock screens [1] Zacks Style Scores - Zacks Style Scores are indicators that rate stocks based on value, growth, and momentum methodologies, helping investors identify stocks likely to outperform the market in the next 30 days [2] - Each stock receives an alphabetic rating from A to F, with A indicating the highest potential for outperformance [2] Value Score - The Value Score focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [2] Growth Score - The Growth Score emphasizes a company's financial health and future growth potential, analyzing projected and historical earnings, sales, and cash flow [3] Momentum Score - The Momentum Score identifies trends in stock prices and earnings outlooks, helping investors time their positions based on recent price changes and earnings estimate shifts [3] VGM Score - The VGM Score combines Value, Growth, and Momentum Scores, serving as a comprehensive indicator for stock selection alongside the Zacks Rank [4] Zacks Rank - The Zacks Rank is a proprietary model that utilizes earnings estimate revisions to guide investors in building successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [5] - There are over 800 top-rated stocks available, making selection potentially overwhelming for investors [5] Stock to Watch: Avery Dennison (AVY) - Avery Dennison Corporation, based in Pasadena, CA, specializes in pressure-sensitive materials and various converted products, serving a global clientele [7] - Currently rated 3 (Hold) on the Zacks Rank, AVY has a VGM Score of B and a Momentum Style Score of B, with shares increasing by 7% over the past four weeks [7] - Recent upward revisions in earnings estimates by three analysts for fiscal 2024 have raised the Zacks Consensus Estimate by $0.03 to $9.31 per share, with an average earnings surprise of 1% [7]