Are You a Momentum Investor? This 1 Stock Could Be the Perfect Pick
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
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?
For momentum investors, upward or downward trends in a stock's price or earnings outlook take precedent, so they'll want to zero in on the Momentum Style Score. This Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
DocuSign (DOCU)
Founded in 2003 and headquartered in San Francisco, DocuSign is a global provider of cloud-based software. The company’s DocuSign Agreement Cloud is a cloud software suite that automates and connects the entire agreement process.
DOCU is a Zacks Rank #2 (Buy) stock, with a Momentum Style Score of A and VGM Score of A. Shares are up 7.3% over the past one week and up 11.6% over the past four weeks. DOCU has lost 2.3% in the last one-year period as well. Looking at trading volume, an average of 3,842,453.50 shares exchanged hands over the last 20 trading days.
A company's earnings performance is important for momentum investors as well. For fiscal 2025, eight analysts revised their earnings estimate higher in the last 60 days for DOCU, while the Zacks Consensus Estimate has increased $0.33 to $3.18 per share. DOCU also boasts an average earnings surprise of 23.7%.
With strong earnings growth, a good Zacks Rank, and top-tier Momentum and VGM Style Scores, investors should think about adding DOCU to their portfolios.
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DocuSign (DOCU) : Free Stock Analysis Report
