Momentum investing
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Here's Why Sanmina (SANM) is a Strong Momentum Stock
ZACKS· 2025-11-11 15:51
Core Insights - Zacks Premium provides tools for investors to enhance their stock market engagement and confidence, including daily updates, research reports, and stock screens [1][2] Zacks Style Scores - Zacks Style Scores are indicators that rate stocks based on value, growth, and momentum characteristics, helping investors identify stocks likely to outperform the market in the short term [2][3] - Each stock is rated from A to F, with A indicating the highest potential for outperformance [3] Value Score - The Value Score identifies attractive and discounted stocks using various financial ratios such as P/E and Price/Sales [3] Growth Score - The Growth Score focuses on a company's financial health and future outlook, analyzing projected and historical earnings and cash flow [4] Momentum Score - The Momentum Score capitalizes on price trends, using factors like recent price changes and earnings estimate revisions to identify high-momentum stocks [5] VGM Score - The VGM Score combines all three Style Scores, providing a comprehensive indicator for investors seeking the best value, growth, and momentum [6] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to help build successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +23.93% since 1988, significantly outperforming the S&P 500 [7][8] - There are over 800 stocks rated 1 or 2, making it essential for investors to utilize Style Scores to narrow down their choices [8][9] Stock Highlight: Sanmina Corporation - Sanmina Corporation, based in San Jose, CA, is a global provider of electronics contract manufacturing services, serving various industries including medical and aerospace [11] - Sanmina has a Zacks Rank of 1 (Strong Buy) and a VGM Score of A, with a Momentum Style Score of B, reflecting a 39.2% increase in share price over the past four weeks [12] - Analysts have revised earnings estimates upwards for fiscal 2026, with the Zacks Consensus Estimate rising from $2.70 to $9.64 per share, and an average earnings surprise of +5.4% [12][13]
Despite Fast-paced Momentum, Holley (HLLY) Is Still a Bargain Stock
ZACKS· 2025-11-11 14:56
Core Viewpoint - Momentum investing focuses on "buying high and selling higher," contrasting with traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Characteristics - Momentum investing can be risky as stocks may lose momentum if future growth does not justify high valuations [2] - A safer approach involves investing in bargain stocks that exhibit recent price momentum, identified through tools like the Zacks Momentum Style Score [3] Group 2: Holley Inc. (HLLY) Analysis - Holley Inc. (HLLY) has shown a price increase of 23.4% over the past four weeks, indicating strong investor interest [4] - HLLY has gained 1.4% over the past 12 weeks and has a beta of 1.36, suggesting it moves 36% more than the market [5] - HLLY has a Momentum Score of B, indicating a favorable time to invest based on momentum [6] Group 3: Earnings Estimates and Valuation - HLLY has a Zacks Rank 2 (Buy) due to upward revisions in earnings estimates, which attract more investors [7] - The stock is trading at a Price-to-Sales ratio of 0.72, indicating it is reasonably valued at 72 cents for each dollar of sales [7] Group 4: Additional Investment Opportunities - Besides HLLY, there are other stocks that meet the criteria of "Fast-Paced Momentum at a Bargain" [8] - Investors can explore over 45 Zacks Premium Screens tailored to identify winning stock picks based on various investing styles [9]
Magna (MGA) Shows Fast-paced Momentum But Is Still a Bargain Stock
ZACKS· 2025-11-11 14:56
Core Insights - 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] - Identifying the right entry point for momentum stocks can be challenging, as they may lose momentum if their valuations exceed future growth potential [1] Group 1: Momentum Investing Strategy - Investing in bargain stocks that have recently shown price momentum can be a safer approach [2] - The Zacks Momentum Style Score is effective in identifying strong momentum stocks, while the 'Fast-Paced Momentum at a Bargain' screen helps find attractively priced fast-moving stocks [2] Group 2: Magna (MGA) Stock Analysis - Magna (MGA) has shown a 12% price increase over the past four weeks, indicating growing investor interest [3] - The stock gained 11.8% over the past 12 weeks, demonstrating its ability to deliver positive returns over a longer timeframe [4] - MGA has a beta of 1.59, suggesting it moves 59% more than the market in either direction, indicating fast-paced momentum [4] Group 3: Valuation and Earnings Estimates - MGA has a Momentum Score of B, suggesting it is an opportune time to invest in the stock [5] - The stock has a Zacks Rank 2 (Buy) due to upward revisions in earnings estimates, which typically attract more investors [6] - MGA is trading at a Price-to-Sales ratio of 0.33, indicating it is relatively cheap, as investors pay only 33 cents for each dollar of sales [6] Group 4: Additional Investment Opportunities - Besides MGA, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [7] - Zacks offers over 45 Premium Screens tailored to different investing styles, aiding in the identification of potential winning stocks [8]
Flowserve (FLS) Is Up 1.45% in One Week: What You Should Know
ZACKS· 2025-11-10 18:03
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: Flowserve (FLS) - Flowserve currently holds a Momentum Style Score of A, indicating strong momentum characteristics [3] - The company has a Zacks Rank of 2 (Buy), suggesting it is positioned for potential outperformance in the market [4] Price Performance - Over the past week, Flowserve shares increased by 1.45%, while the Zacks Manufacturing - General Industrial industry declined by 1.08% [6] - In a longer timeframe, Flowserve's monthly price change is 41.05%, significantly outperforming the industry's 0.18% [6] - Over the last quarter, Flowserve shares rose by 31.58%, and over the past year, they gained 15.63%, compared to the S&P 500's increases of 6.44% and 13.97%, respectively [7] Trading Volume - Flowserve's average 20-day trading volume is 2,606,989 shares, which serves as a bullish indicator when combined with rising stock prices [8] Earnings Outlook - In the past two months, four earnings estimates for Flowserve have been revised upwards, with no downward revisions, leading to an increase in the consensus estimate from $3.37 to $3.45 [10] - For the next fiscal year, five estimates have also moved higher without any downward revisions [10] Conclusion - Given the strong momentum indicators and positive earnings outlook, Flowserve is recommended as a stock to consider for near-term investment opportunities [12]
Here's Why Subaru Corporation (FUJHY) is a Great Momentum Stock to Buy
ZACKS· 2025-11-10 18:03
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 Summary: Subaru Corporation (FUJHY) - Subaru Corporation 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] - Over the past week, FUJHY shares increased by 1.6%, while the Zacks Automotive - Foreign industry remained flat [5] - In a longer timeframe, FUJHY's shares rose by 12.3% over the past month, outperforming the industry's 1.34% [5] - Over the last quarter, FUJHY shares increased by 7.59%, and over the past year, they have risen by 37.37%, compared to the S&P 500's increases of 6.44% and 13.97%, respectively [6] - The average 20-day trading volume for FUJHY is 117,153 shares, which is a useful indicator of market interest [7] Earnings Outlook - In the past two months, one earnings estimate for FUJHY has increased, while none have decreased, raising the consensus estimate from $0.63 to $0.72 [9] - For the next fiscal year, one estimate has also moved upwards with no downward revisions during the same period [9] Conclusion - Considering the momentum indicators and earnings outlook, FUJHY is classified as a 2 (Buy) stock with a Momentum Score of A, making it a strong candidate for near-term investment [11]
Are You Looking for a Top Momentum Pick? Why International Seaways (INSW) is a Great Choice
ZACKS· 2025-11-10 18:03
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: International Seaways (INSW) - International Seaways 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] Performance Metrics - INSW shares have increased by 4.06% over the past week, while the Zacks Transportation - Shipping industry has seen a slight decline of 0.05% [5] - Over the last quarter, INSW shares have risen by 28.03%, and they are up 23.75% over the past year, significantly outperforming the S&P 500, which has moved 6.44% and 13.97% respectively [6] - The average 20-day trading volume for INSW is 502,956 shares, indicating a bullish sign with rising stock prices [7] Earnings Outlook - In the past two months, two earnings estimates for INSW have been revised upwards, with no downward revisions, leading to an increase in the consensus estimate from $3.71 to $4.47 [9] - For the next fiscal year, two estimates have also moved upwards, reflecting positive sentiment regarding the company's earnings potential [9] Conclusion - Given the strong performance metrics and positive earnings outlook, INSW is identified as a 2 (Buy) stock with a Momentum Score of A, making it a promising candidate for near-term investment [11]
Are You Looking for a Top Momentum Pick? Why Cardinal Health (CAH) is a Great Choice
ZACKS· 2025-11-10 18:03
Core Insights - 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] - The Zacks Momentum Style Score helps investors identify stocks with strong momentum, addressing the challenges of defining momentum [2] Company Overview: Cardinal Health (CAH) - Cardinal Health currently holds a Momentum Style Score of A, indicating strong momentum potential [3] - The company has a Zacks Rank of 2 (Buy), suggesting it is positioned for outperformance in the market [4] Performance Metrics - Over the past week, CAH shares increased by 6.76%, while the Zacks Medical - Dental Supplies industry saw a slight decline of 0.03% [6] - In a longer timeframe, CAH's monthly price change is 29.83%, significantly outperforming the industry's 1.27% [6] - Over the last quarter, CAH shares rose by 36.13%, and over the past year, they increased by 68.94%, compared to the S&P 500's gains of 6.44% and 13.97%, respectively [7] Trading Volume - CAH's average 20-day trading volume is 2,610,722 shares, which serves as a bullish indicator when combined with rising stock prices [8] Earnings Outlook - In the past two months, 6 earnings estimates for CAH have been revised upwards, with no downward revisions, leading to an increase in the consensus estimate from $9.45 to $9.79 [10] - For the next fiscal year, 5 estimates have also moved higher, indicating positive sentiment around CAH's earnings potential [10] Conclusion - Given the strong performance metrics and positive earnings outlook, CAH is positioned as a solid momentum pick with a Momentum Score of A and a Zacks Rank of 2 (Buy) [12]
Advanced Energy Industries (AEIS) Is Up 6.91% in One Week: What You Should Know
ZACKS· 2025-11-10 18:03
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: Advanced Energy Industries (AEIS) - AEIS currently holds a Momentum Style Score of B, indicating a favorable momentum characteristic [2] - The company has a Zacks Rank of 2 (Buy), suggesting strong potential for outperformance in the market [3] Price Performance - AEIS shares have increased by 6.91% over the past week, outperforming the Zacks Semiconductor Equipment - Wafer Fabrication industry, which rose by 1.46% [5] - Over the past month, AEIS shares have risen by 27.77%, compared to the industry's performance of 18.2% [5] - In the last quarter, AEIS shares have surged by 43.15%, and over the past year, they have increased by 84.67%, while the S&P 500 has only moved 6.44% and 13.97% respectively [6] Trading Volume - AEIS has an average 20-day trading volume of 586,632 shares, which is a useful indicator for assessing price movements [7] Earnings Outlook - In the past two months, two earnings estimates for AEIS have been revised upwards, with the consensus estimate increasing from $5.68 to $5.79 [9] - For the next fiscal year, two estimates have also moved higher, with no downward revisions during the same period [9] Conclusion - Given the positive momentum indicators and earnings outlook, AEIS is positioned as a 2 (Buy) stock with a Momentum Score of B, making it a potential candidate for near-term investment [11]
Here's Why Heritage Insurance (HRTG) is a Great Momentum Stock to Buy
ZACKS· 2025-11-10 18:03
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: Heritage Insurance (HRTG) - Heritage Insurance currently holds a Momentum Style Score of B, indicating potential for strong performance [2] - The company has a Zacks Rank of 1 (Strong Buy), suggesting it is expected to outperform the market [3] Price Performance - HRTG shares have increased by 25.01% over the past week, significantly outperforming the Zacks Insurance - Property and Casualty industry, which rose by 4.15% [5] - Over the past month, HRTG's price change is 16.58%, compared to the industry's 1.93% [5] - In the last quarter, HRTG shares rose by 37.78%, and over the past year, they have increased by 142.13%, while the S&P 500 only moved 6.44% and 13.97% respectively [6] Trading Volume - HRTG's average 20-day trading volume is 453,453 shares, which serves as a bullish indicator when combined with rising stock prices [7] Earnings Outlook - In the past two months, one earnings estimate for HRTG has increased, raising the consensus estimate from $4.10 to $4.69 [9] - For the next fiscal year, two estimates have moved upwards with no downward revisions [9] Conclusion - Considering the strong price performance, positive earnings outlook, and favorable momentum indicators, HRTG is positioned as a solid momentum pick with a 1 (Strong Buy) rating [11]
Despite Fast-paced Momentum, Controladora Vuela (VLRS) Is Still a Bargain Stock
ZACKS· 2025-11-10 14:56
Core Insights - Momentum investing focuses on "buying high and selling higher" rather than the traditional "buying low and selling high" approach [1] - Identifying the right entry point for fast-moving stocks can be challenging, as they may lose momentum if future growth does not justify their high valuations [2] Group 1: Momentum Investing Strategy - A safer approach involves investing in bargain stocks that exhibit recent price momentum, utilizing tools like the Zacks Momentum Style Score to identify such opportunities [3] - Controladora Vuela (VLRS) is highlighted as a strong candidate, showing a four-week price change of 0.5% and a 13.5% gain over the past 12 weeks, indicating growing investor interest [4][5] - VLRS has a beta of 2.06, suggesting it moves 106% higher than the market, demonstrating its fast-paced momentum [5] Group 2: Valuation and Earnings Estimates - VLRS has a Momentum Score of B, indicating a favorable time to invest based on its momentum characteristics [6] - The stock has a Zacks Rank 2 (Buy) due to upward revisions in earnings estimates, which typically attract more investors and drive prices higher [7] - VLRS is trading at a Price-to-Sales ratio of 0.26, suggesting it is undervalued, as investors pay only 26 cents for each dollar of sales [7] Group 3: Additional Opportunities - Besides VLRS, 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 stocks based on various investing styles [9]