ammonium nitrate (AN)
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CF Industries (CF) is a Top-Ranked Momentum Stock: Should You Buy?
ZACKS· 2026-01-07 15:50
Core Insights - The Zacks Style Scores provide a framework for evaluating stocks based on value, growth, and momentum, enhancing investment decision-making [2][3][6] Group 1: Zacks Style Scores Overview - The Zacks Style Scores rate stocks with an alphabetic system from A to F, where A indicates the highest potential for 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] Group 2: Value Score - The Value Score identifies stocks trading below their true value by analyzing financial ratios such as P/E, PEG, and Price/Sales [3] Group 3: Growth Score - The Growth Score emphasizes a company's financial health and future growth potential, using historical and projected earnings, sales, and cash flow [4] Group 4: Momentum Score - The Momentum Score helps investors capitalize on price trends, utilizing metrics like short-term price changes and earnings estimate revisions [5] Group 5: VGM Score - The VGM Score combines the three Style Scores to highlight stocks with attractive value, strong growth forecasts, and positive momentum [6] Group 6: Zacks Rank Integration - The Zacks Rank, a proprietary stock-rating model, uses earnings estimate revisions to assist in portfolio building, with 1 (Strong Buy) stocks historically yielding an average annual return of +23.9% since 1988 [7] - Stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B are recommended for maximizing return potential [9] Group 7: Stock Example - CF Industries - CF Industries Holdings, Inc. is a major global manufacturer of nitrogenous fertilizers, currently holding a Zacks Rank of 3 (Hold) and a VGM Score of A [11] - The company has a Momentum Style Score of B, with shares increasing by 3.6% over the past four weeks, and an upward revision of earnings estimates for fiscal 2025 [12]
Why CF Industries (CF) is a Top Momentum Stock for the Long-Term
ZACKS· 2025-05-22 14:51
Company Overview - CF Industries Holdings, Inc. is one of the largest manufacturers and distributors of nitrogenous fertilizers and other nitrogen products globally, with principal products including ammonia, granular urea, urea ammonium nitrate solution (UAN), and ammonium nitrate (AN) [11]. Investment Insights - CF Industries holds a Zacks Rank of 3 (Hold) and has a VGM Score of A, indicating a solid overall performance [11]. - The company has a Momentum Style Score of A, with shares increasing by 17.7% over the past four weeks [12]. - Six analysts have revised their earnings estimates upwards for fiscal 2025, with the Zacks Consensus Estimate rising by $0.69 to $6.89 per share [12]. - CF Industries has an average earnings surprise of 32%, suggesting strong performance relative to expectations [12].