Core Insights - Zacks Premium provides various tools to enhance stock market investment confidence and effectiveness [1][2] - The Zacks Style Scores are designed to help investors select stocks with the highest potential to outperform the market in the short term [3] Zacks Style Scores Overview - The Style Scores categorize stocks into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [4][5][6][7] - Value Score emphasizes identifying undervalued stocks using financial ratios [4] - Growth Score focuses on a company's future earnings and financial health [5] - Momentum Score capitalizes on existing price trends and earnings outlook [6] - VGM Score combines all three styles to provide a comprehensive assessment of stocks [7] Zacks Rank and Performance - The Zacks Rank is a proprietary model that uses earnings estimate revisions to assist in portfolio building [8] - Stocks rated 1 (Strong Buy) have historically achieved an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [9] - There are over 800 top-rated stocks available, making it essential to utilize Style Scores for effective selection [10] Investment Strategy Recommendations - For optimal returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [11] - Stocks with a 3 (Hold) rank should also have A or B Scores to maximize upside potential [11] - The direction of earnings estimate revisions is crucial when selecting stocks, as declining forecasts can negatively impact share prices [12] Company Spotlight: Waters Corp. (WAT) - Waters Corp. is an analytical instrument manufacturer providing sustainable products for laboratory organizations [13] - Currently rated 3 (Hold) with a VGM Score of A, WAT has a Momentum Style Score of A and has seen a 2.2% increase in shares over the past month [13][14] - Recent upward revisions in earnings estimates for fiscal 2025 indicate positive momentum, with the Zacks Consensus Estimate rising by $0.06 to $12.90 per share [14]

Core Insights - Zacks Premium offers various tools to help investors make informed decisions and enhance their confidence in the stock market [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 next 30 days [2][3] - Each stock is rated from A to F, with A indicating the highest potential for outperformance [3] Value Score - The Value Style Score focuses on identifying undervalued stocks using ratios like P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - The Growth Style Score assesses a company's financial strength and future outlook, considering projected and historical earnings, sales, and cash flow [4] Momentum Score - The Momentum Style Score evaluates trends in stock prices and earnings estimates, helping investors identify optimal times to invest in high-momentum stocks [5] VGM Score - The VGM Score combines all three Style Scores, providing a comprehensive indicator for selecting stocks with attractive value, growth forecasts, and promising momentum [6] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to assist investors in building successful portfolios [7] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [8] Stock to Watch: Waters Corp (WAT) - Waters Corp is an analytical instrument manufacturer with a Zacks Rank of 3 (Hold) and a VGM Score of B [12] - The company is appealing to growth investors, with a Growth Style Score of A and a forecasted year-over-year earnings growth of 8.7% for the current fiscal year [13] - Recent earnings estimates for fiscal 2025 have been revised upward, with the Zacks Consensus Estimate increasing by $0.01 to $12.89 per share, alongside an average earnings surprise of 4% [13]