Skechers (SKX) is a Great Momentum Stock: Should You Buy?

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, with the aim of buying high and selling higher, leveraging established price movements for profitable trades [1] Company Overview: Skechers (SKX) - Skechers currently holds a Momentum Style Score of A, indicating strong momentum characteristics [1] - The company has a Zacks Rank of 1 (Strong Buy), which is associated with a historical outperformance in the market [2] Price Performance - Over the past week, Skechers shares increased by 2.03%, while the Zacks Shoes and Retail Apparel industry declined by 1.4% [3] - In the last month, Skechers' stock price rose by 7.51%, outperforming the industry's 3.78% [3] - Over the past quarter, shares of Skechers have increased by 19.64%, and over the last year, they have gained 35.45% [4] - In comparison, the S&P 500 index moved 4.05% and 27.26% over the same periods [4] Trading Volume - The average 20-day trading volume for Skechers is 1,357,796 shares, which serves as a bullish indicator when combined with rising stock prices [4] Earnings Outlook - In the last two months, 7 earnings estimates for Skechers have been revised upwards, with no downward revisions, leading to an increase in the consensus estimate from $3.82 to $4.07 [5] - For the next fiscal year, 7 estimates have also moved upwards without any downward revisions [5] Conclusion - Given the strong momentum indicators and positive earnings outlook, Skechers is positioned as a 1 (Strong Buy) stock with a Momentum Score of A, making it a potential investment opportunity [6]