Why This 1 Momentum Stock Could Be a Great Addition to Your Portfolio
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It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Is This 1 Momentum Stock a Screaming Buy Right Now?
Different than value or growth investors, momentum-oriented investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.
Flex (FLEX)
Singapore-based Flex Ltd (formerly known as Flextronics International Ltd) has a diverse workforce across 30 countries and offers advanced manufacturing solutions and additional value to customers through a wide array of services, including design and engineering, component services, rapid prototyping, fulfilment, and circular economy solutions.
FLEX boasts a Momentum Style Score of A and VGM Score of A, and holds a Zacks Rank #3 (Hold) rating. Shares of Flex has seen some interesting price action recently; the stock is down 5.6% over the past one week and up 9.8% over the past four weeks. And in the last one-year period, FLEX has gained 50%. As for the stock's trading volume, 6,745,224 shares on average were traded over the last 20 days.
A company's earnings performance is important for momentum investors as well. For fiscal 2025, three analysts revised their earnings estimate higher in the last 60 days for FLEX, while the Zacks Consensus Estimate has increased $0.02 to $2.42 per share. FLEX also boasts an average earnings surprise of 14.2%.
Investors should take the time to consider FLEX for their portfolios due to its solid Zacks Ranks, notable earnings metrics, and impressive Momentum and VGM Style Scores.
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Flex Ltd. (FLEX) : Free Stock Analysis Report