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Here's Why Momentum in Strattec Security (STRT) Should Keep going
ZACKS· 2025-11-25 14:56
Core Insights - The article emphasizes the importance of identifying and sustaining trends in short-term investing to maximize profits [1][2] - A unique screening strategy, "Recent Price Strength," is highlighted as a tool to identify stocks with strong fundamentals that can maintain upward momentum [3] Company Analysis: Strattec Security (STRT) - STRT has shown a solid price increase of 11.7% over the past 12 weeks, indicating investor confidence in its potential upside [4] - The stock has also increased by 10.5% in the last four weeks, suggesting that the upward trend is still intact [5] - STRT is currently trading at 81.7% of its 52-week high-low range, indicating a potential breakout opportunity [5] - The stock holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises [6] - STRT has an Average Broker Recommendation of 1 (Strong Buy), reflecting high optimism from the brokerage community regarding its near-term price performance [7] Investment Strategy - The article suggests that STRT may continue its upward price trend, making it a candidate for trend-focused investors [8] - In addition to STRT, there are other stocks that meet the criteria of the "Recent Price Strength" screen, providing additional investment opportunities [8]
Fast-paced Momentum Stock Enhabit (EHAB) Is Still Trading at a Bargain
ZACKS· 2025-11-25 14:56
Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Strategy - Momentum investors often face challenges in determining the right entry point for fast-moving stocks, which can lead to investments with limited upside or potential downside [2] - A safer approach involves investing in bargain stocks that exhibit recent price momentum, utilizing tools like the Zacks Momentum Style Score to identify promising candidates [3] Group 2: Case Study - Enhabit (EHAB) - Enhabit (EHAB) has shown a price increase of 1.6% over the past four weeks, indicating growing investor interest [4] - The stock has gained 10.7% over the past 12 weeks, demonstrating its ability to deliver positive returns over a longer timeframe [5] - EHAB has a beta of 1.69, suggesting it moves 69% more than the market in either direction, indicating fast-paced momentum [5] Group 3: Valuation and Earnings Estimates - EHAB has a Momentum Score of B, suggesting it is an opportune time to invest in the stock [6] - The stock has a Zacks Rank 2 (Buy) due to upward revisions in earnings estimates, which typically attract more investor interest [7] - EHAB is trading at a Price-to-Sales ratio of 0.42, indicating it is relatively undervalued, as investors pay only 42 cents for each dollar of sales [7] Group 4: Additional Opportunities - Besides EHAB, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [8] - The Zacks Premium Screens offer over 45 different strategies to help identify potential winning stock picks based on various investing styles [9]
Cambium (CMBM) Shows Fast-paced Momentum But Is Still a Bargain Stock
ZACKS· 2025-11-25 14:56
Momentum investing is essentially the opposite of the tried-and-tested Wall Street adage -- "buy low and sell high." Investors following this investing style typically avoid betting on cheap stocks and waiting long for them to recover. They believe instead that one could make far more money in lesser time by "buying high and selling higher."Who doesn't like betting on fast-moving trending stocks? But determining the right entry point isn't easy. Often, these stocks lose momentum once their valuation moves a ...
Seanergy Maritime Holdings Corp (SHIP) Is Up 1.39% in One Week: What You Should Know
ZACKS· 2025-11-24 18:01
Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Overview: Seanergy Maritime Holdings Corp (SHIP) - SHIP currently holds a Momentum Style Score of A, indicating strong momentum characteristics [2] - The company has a Zacks Rank of 1 (Strong Buy), suggesting a favorable outlook based on historical performance metrics [3] Performance Metrics - Over the past week, SHIP shares increased by 1.39%, while the Zacks Transportation - Shipping industry declined by 0.94% [5] - In the last month, SHIP's price rose by 15.43%, outperforming the industry's 4.52% [5] - Over the past quarter, SHIP shares have risen by 21.95%, and by 13.91% over the last year, compared to the S&P 500's increases of 4% and 12.33% respectively [6] Trading Volume - SHIP's average 20-day trading volume is 145,863 shares, which serves as a baseline for price-to-volume analysis [7] Earnings Outlook - In the last two months, two earnings estimates for SHIP have been revised upwards, increasing the consensus estimate from $0.63 to $1.05 [9] - For the next fiscal year, two estimates have also moved upwards with no downward revisions [9] Conclusion - Given the strong performance metrics and positive earnings outlook, SHIP is positioned as a 1 (Strong Buy) stock with a Momentum Score of A, making it a potential candidate for investors seeking short-term gains [11]
Are You Looking for a Top Momentum Pick? Why Nu Holdings Ltd.
ZACKS· 2025-11-24 18:01
Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, with the aim of buying high and selling higher, capitalizing on established price movements [1] Company Overview: Nu Holdings Ltd. (NU) - Nu Holdings Ltd. currently holds a Momentum Style Score of A, indicating strong momentum characteristics [2] - The company has a Zacks Rank of 2 (Buy), suggesting it is positioned for potential outperformance in the market [3] Price Performance - Over the past week, NU shares increased by 0.44%, while the Zacks Banks - Foreign industry declined by 2.46% [5] - In the last quarter, NU shares rose by 7.36%, and over the past year, they increased by 14.23%, outperforming the S&P 500, which moved 4% and 12.33% respectively [6] Trading Volume - NU's average 20-day trading volume is 37,445,536 shares, which serves as a bullish indicator when combined with rising stock prices [7] Earnings Outlook - In the past two months, two earnings estimates for NU have been revised upwards, increasing the consensus estimate from $0.56 to $0.58 [9] - For the next fiscal year, two estimates have also moved higher, with no downward revisions noted [9] Conclusion - Given the strong momentum indicators and positive earnings outlook, NU is recommended as a 2 (Buy) stock with a Momentum Score of A, making it a potential candidate for near-term investment [11]
Pangaea Logistics (PANL) is a Great Momentum Stock: Should You Buy?
ZACKS· 2025-11-24 18:01
Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Overview: Pangaea Logistics (PANL) - Pangaea Logistics currently holds a Momentum Style Score of B, indicating potential as a solid momentum pick [3] - The company has a Zacks Rank of 2 (Buy), which is associated with strong market performance [4] Price Performance - PANL shares have increased by 4.94% over the past week, while the Zacks Transportation - Shipping industry has decreased by 0.94% during the same period [6] - Over the past month, PANL's price change is 40.79%, significantly outperforming the industry's 4.52% [6] - In the last quarter, PANL shares rose by 27.58%, and over the past year, they gained 15.84%, compared to the S&P 500's increases of 4% and 12.33%, respectively [7] Trading Volume - The average 20-day trading volume for PANL is 318,786 shares, which serves as a bullish indicator when combined with rising stock prices [8] Earnings Outlook - In the past two months, one earnings estimate for PANL has increased, raising the consensus estimate from $0.04 to $0.30 [10] - For the next fiscal year, one estimate has also moved upwards, with no downward revisions noted [10] Conclusion - Considering the positive price trends, trading volume, and earnings outlook, PANL is positioned as a 2 (Buy) stock with a Momentum Score of B, making it a noteworthy option for investors seeking short-term gains [12]
Despite Fast-paced Momentum, Orion Marine (ORN) Is Still a Bargain Stock
ZACKS· 2025-11-24 14:55
Core Viewpoint - Momentum investing contrasts with the traditional "buy low and sell high" strategy, focusing instead on "buying high and selling higher" to capitalize on fast-moving stocks [1] Group 1: Momentum Investing Strategy - Momentum investing can be risky as stocks may lose momentum when their growth potential does not justify high valuations [1] - A safer approach involves investing in bargain stocks that exhibit recent price momentum, identified through tools like the Zacks Momentum Style Score [2] Group 2: Orion Marine Group (ORN) Analysis - Orion Marine Group (ORN) has shown a four-week price change of 0.5%, indicating growing investor interest [3] - ORN has gained 20.7% over the past 12 weeks, demonstrating its ability to deliver positive returns over a longer timeframe [4] - The stock has a beta of 1.25, suggesting it moves 25% more than the market in either direction, indicating fast-paced momentum [4] - ORN has a Momentum Score of A, suggesting it is an opportune time to invest in the stock [5] Group 3: Earnings Estimates and Valuation - ORN has a Zacks Rank 2 (Buy) due to upward trends in earnings estimate revisions, which attract more investor interest [6] - The stock is trading at a Price-to-Sales ratio of 0.43, indicating it is relatively cheap, as investors pay only 43 cents for each dollar of sales [6] - This favorable valuation, combined with strong momentum features, suggests that ORN has significant potential for growth [7]
Universal Insurance Holdings (UVE) Is Up 2.35% in One Week: What You Should Know
ZACKS· 2025-11-21 18:01
Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Overview: Universal Insurance Holdings (UVE) - UVE currently holds a Momentum Style Score of B, indicating a favorable momentum characteristic [2] - The company has a Zacks Rank of 1 (Strong Buy), suggesting strong potential for outperformance in the market [3] Performance Metrics - UVE shares have increased by 2.35% over the past week, outperforming the Zacks Insurance - Property and Casualty industry, which rose by 1.98% [6] - Over the past month, UVE's price has risen by 13.83%, significantly higher than the industry's 2.01% [6] - In the last quarter, UVE shares rose by 34.12%, and over the past year, they increased by 44.27%, while the S&P 500 only moved 2.58% and 11.81%, respectively [7] Trading Volume - UVE's average 20-day trading volume is 218,856 shares, which serves as a bullish indicator when combined with rising stock prices [8] Earnings Outlook - In the past two months, one earnings estimate for UVE has increased, while none have decreased, raising the consensus estimate from $2.65 to $4.63 [10] - For the next fiscal year, one estimate has also moved upwards with no downward revisions [10] Conclusion - Given the strong performance metrics and positive earnings outlook, UVE is positioned as a 1 (Strong Buy) stock with a Momentum Score of B, making it a compelling investment option [12]
Why Incyte (INCY) is a Top Momentum Stock for the Long-Term
ZACKS· 2025-11-20 15:51
Core Insights - Zacks Premium provides various tools for investors to enhance their stock market strategies and confidence [1] - The Zacks Style Scores are designed to help investors select stocks with the highest potential to outperform the market in the short term [2] Zacks Style Scores Overview - Stocks are rated from A to F based on value, growth, and momentum characteristics, with A being the highest score indicating better chances of outperforming [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score [3][4][5][6] Value Score - Focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - Evaluates a company's financial health and future growth potential through projected and historical earnings, sales, and cash flow [4] Momentum Score - Targets stocks with upward or downward trends in price or earnings outlook, utilizing short-term price changes and earnings estimate revisions [5] VGM Score - Combines all three Style Scores to provide a comprehensive rating based on value, growth, and momentum [6] Zacks Rank Integration - The Zacks Rank uses earnings estimate revisions to identify stocks, with 1 (Strong Buy) stocks historically yielding an average annual return of +23.93% since 1988, outperforming the S&P 500 [7] - Investors are encouraged to focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal returns [9] Stock Highlight: Incyte Corporation - Incyte Corporation, a biopharmaceutical company, holds a Zacks Rank of 3 (Hold) and a VGM Score of A [11] - The company has a Momentum Style Score of A, with shares increasing by 15.1% over the past four weeks and a positive earnings estimate revision trend [12]
VIDEO: ETF of the Week: XMMO
Etftrends· 2025-11-19 17:45
Core Viewpoint - The Invesco S&P MidCap Momentum ETF (XMMO) is highlighted as a strong investment option due to the recent performance of small- and mid-cap companies, which have started to gain traction in the market [2][3]. Fund Performance - XMMO has shown an increase of approximately 11% through the first 10 months of the year, outperforming traditional index-based mid-cap investments [3]. - Over the last five years, XMMO has returned roughly 16%, compared to the S&P MidCap 400 index's return of 13% [12]. Investment Strategy - The ETF employs a relative strength strategy, focusing on the top 20% of mid-cap stocks based on their momentum over a six-month period [5][4]. - XMMO rebalances semiannually, with the last rebalance occurring at the end of September [4]. Sector Exposure - The portfolio consists of 80 stocks, with a significant overweight in industrials, making up about one-third of the portfolio, while financials account for approximately 10% [6]. - The fund has low exposure to sectors such as healthcare, real estate, energy, and materials, which could impact performance if those sectors lead the market [15][16]. Historical Context - XMMO has consistently ranked at the top of its peer group over the last 10 to 15 years, demonstrating its effectiveness as a momentum-based investment [8]. - Despite some struggles in the past, particularly in 2022, XMMO has generally outperformed its peers during market downturns [14].