Here's Why CBD (CBD) is a Strong Momentum Stock
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.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
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.
CBD (CBD)
Companhia Brasileira de Distribuicao or Grupo Pao de Acucar ("GPA") is the largest food retailer in South America. The company operates through a multiformat and multichannel business model. With presence all over Brazil, along with in Colombia, Argentina and Uruguay through Grupo Exito, the company brings together renowned retail chains and brands such as Compre Bem, Extra and Pao de Acucar private-label brands like Qualita, Club des Sommeliers and Finlandek to name a few.
CBD is a Zacks Rank #2 (Buy) stock, with a Momentum Style Score of A and VGM Score of A. Shares are down 5.6% over the past one week and up 15.1% over the past four weeks. CBD has lost 24% in the last one-year period as well. Looking at trading volume, an average of 770,838.38 shares exchanged hands over the last 20 trading days.
A company's earnings performance is important for momentum investors as well. For fiscal 2022, one analyst revised their earnings estimate higher in the last 60 days for CBD, while the Zacks Consensus Estimate has increased $0.66 to $0.99 per share. CBD also boasts an average earnings surprise of 100%.
Investors should take the time to consider CBD for their portfolios due to its solid Zacks Ranks, notable earnings metrics, and impressive Momentum and VGM Style Scores.
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Companhia Brasileira de Distribuicao (CBD) : Free Stock Analysis Report
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