Core Viewpoint - The Zacks Style Scores provide a framework for investors to evaluate stocks based on value, growth, and momentum, enhancing the decision-making process for stock selection [2][3][7]. Summary by Category Zacks Style Scores - The Zacks Style Scores rate stocks using a grading system from A to F, with A being the highest score indicating a better chance of outperforming the market [3]. - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [3][4][5][6]. Value Score - The Value Score helps investors identify undervalued stocks by analyzing financial ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [3]. Growth Score - The Growth Score emphasizes a company's financial health and future growth potential, considering projected and historical earnings, sales, and cash flow [4]. Momentum Score - The Momentum Score assists investors in capitalizing on stock price trends, utilizing metrics like one-week price changes and monthly earnings estimate changes [5]. VGM Score - The VGM Score combines the three Style Scores to identify stocks with attractive value, strong growth forecasts, and promising momentum, serving as a useful indicator alongside the Zacks Rank [6]. Zacks Rank - The Zacks Rank is a proprietary model that leverages earnings estimate revisions to guide investors in building successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +23.83% since 1988, significantly outperforming the S&P 500 [7][8]. Stock Example: Stryker (SYK) - Stryker is a leading medical technology company, generating approximately 60% of its sales from MedSurg & Neurotechnology and 40% from Orthopaedics, with about 75% of revenue coming from the U.S. market [12]. - Stryker holds a 3 (Hold) rating on the Zacks Rank and has a VGM Score of B, with a Momentum Style Score of B, indicating potential for investors [13][14].

Core Insights - Zacks Premium provides tools for investors to enhance their stock market strategies, including daily updates on Zacks Rank and Industry Rank, research reports, and stock screens [1][2] Zacks Style Scores - Zacks Style Scores rate stocks based on value, growth, and momentum characteristics, helping investors identify securities likely to outperform the market in the short term [2][3] - Each stock receives a rating 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 financial ratios such as P/E, PEG, and Price/Sales [3] Growth Score - The Growth Style Score evaluates stocks based on projected and historical earnings, sales, and cash flow to find those with sustainable growth potential [4] Momentum Score - The Momentum Style Score identifies trends in stock prices and earnings outlooks, helping investors time their positions effectively [5] VGM Score - The VGM Score combines the three Style Scores to highlight stocks with attractive value, strong growth forecasts, and positive momentum [6] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to guide investors in building successful portfolios [7] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +23.81% since 1988, significantly outperforming the S&P 500 [8] Stock Selection Strategy - To maximize returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [9] - Stocks with lower ranks (4 or 5) should be avoided, even if they have high Style Scores, due to declining earnings forecasts [10] Company Spotlight: Stryker (SYK) - Stryker is a leading medical technology company, generating approximately 60% of its sales from MedSurg & Neurotechnology and 40% from Orthopaedics [11] - The company has a Zacks Rank of 3 (Hold) and a VGM Score of B, with a Growth Style Score of B indicating an expected year-over-year earnings growth of 11.2% for the current fiscal year [12] - Recent upward revisions in earnings estimates and a positive earnings surprise average of +2.9% make Stryker a notable option for growth investors [12][13]

Core Insights - Zacks Premium offers tools for investors to enhance their stock market strategies and confidence [1] - The Zacks Style Scores provide a framework for evaluating stocks based on value, growth, and momentum [2] Zacks Style Scores Overview - Stocks are rated A, B, C, D, or F based on their value, growth, and momentum characteristics, with higher scores indicating better performance potential [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 stocks based on projected and historical earnings, sales, and cash flow to identify sustainable growth opportunities [4] Momentum Score - Assesses stocks based on price trends and earnings outlook, helping investors capitalize on upward or downward movements [5] VGM Score - Combines all three Style Scores to provide a comprehensive rating, highlighting stocks with attractive value, growth, and momentum [6] Zacks Rank Integration - The Zacks Rank uses earnings estimate revisions to simplify portfolio building, with 1 (Strong Buy) stocks historically yielding an average annual return of +23.93% since 1988 [7] - There can be over 800 stocks rated 1 or 2, making it essential to utilize Style Scores for better selection [8] Investment Strategy - To maximize returns, investors should target stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [9] - Stocks with lower ranks but high Style Scores may still face downward price pressure due to negative earnings outlooks [10] Company Spotlight: Stryker (SYK) - Stryker is a leader in medical technology, generating approximately 60% of sales from MedSurg & Neurotechnology and 40% from Orthopaedics [11] - The company has a Zacks Rank of 3 (Hold) and a VGM Score of B, with a strong Momentum Style Score of A [12] - Recent upward revisions in earnings estimates indicate positive growth potential, with the Zacks Consensus Estimate for fiscal 2025 at $13.55 per share [12][13]