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Par Petroleum (PARR) Shows Fast-paced Momentum But Is Still a Bargain Stock
ZACKS· 2025-08-26 13:50
Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than the traditional "buying low and selling high" approach, aiming for quicker profits [1] Group 1: Momentum Investing Strategy - Fast-moving trending stocks can be difficult to enter at the right time, as they may lose momentum if future growth does not justify their high valuations [2] - A safer strategy involves investing in bargain stocks that exhibit recent price momentum, utilizing tools like the Zacks Momentum Style Score to identify these opportunities [3] Group 2: Par Petroleum (PARR) Analysis - Par Petroleum (PARR) has shown a four-week price change of 1.4%, indicating growing investor interest [4] - Over the past 12 weeks, PARR's stock has gained 47.8%, with a beta of 1.83, suggesting it moves 83% more than the market [5] - PARR has a Momentum Score of B, indicating a favorable time to invest based on momentum [6] Group 3: Earnings Estimates and Valuation - PARR has received a Zacks Rank 1 (Strong Buy) due to upward revisions in earnings estimates, which attract more investors [7] - The stock is currently trading at a Price-to-Sales ratio of 0.22, meaning investors pay 22 cents for each dollar of sales, indicating a reasonable valuation [7] Group 4: Additional Investment Opportunities - Besides PARR, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, suggesting further investment opportunities [8] - The Zacks Premium Screens offer over 45 strategies tailored to outperform the market, providing additional avenues for stock selection [9]
Despite Fast-paced Momentum, Ranpak Holdings (PACK) Is Still a Bargain Stock
ZACKS· 2025-08-08 13:51
Core Viewpoint - Momentum investing focuses on buying stocks that are trending upwards rather than undervalued stocks, with the belief that one can achieve higher returns in a shorter time frame [1] Group 1: Momentum Investing Strategy - Momentum investing is characterized by the approach of "buying high and selling higher," contrasting with the traditional "buy low and sell high" strategy [1] - Identifying the right entry point for momentum stocks can be challenging, as these stocks may lose momentum if their valuations exceed future growth potential [1] Group 2: Investment Opportunities - Investing in bargain stocks that have recently shown price momentum can be a safer strategy [2] - Ranpak Holdings Corp (PACK) is highlighted as a strong candidate for momentum investing, with a four-week price change of 4.5% indicating growing investor interest [3] - Over the past 12 weeks, PACK's stock has gained 8.7%, demonstrating its ability to deliver positive returns over a longer time frame [4] - PACK has a high beta of 2.7, suggesting it moves 170% higher than the market in either direction, indicating fast-paced momentum [4] Group 3: Performance Metrics - PACK has a Momentum Score of A, suggesting it is an opportune time to invest in the stock for potential success [5] - The stock has received a Zacks Rank 2 (Buy) due to an upward trend in earnings estimate revisions, which typically attracts more investor interest [6] - PACK is currently trading at a Price-to-Sales ratio of 0.88, indicating it is relatively cheap at 88 cents for each dollar of sales [6] Group 4: Additional Investment Options - Besides PACK, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting additional investment opportunities [7] - Investors can explore over 45 Zacks Premium Screens tailored to different investing styles to identify potential winning stocks [8]