Why This 1 Momentum Stock Could Be a Great Addition to Your Portfolio
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.
Catalyst Pharmaceutical (CPRX)
Coral Gables, FL-based Catalyst Pharmaceuticals, Inc. is a commercial-stage biopharmaceutical company, focused on the development and commercialization of therapies targeting rare neurological diseases and disorders, such as LEMS, epilepsy (initially infantile spasms) and Tourette syndrome.
CPRX sits at a Zacks Rank #1 (Strong Buy), holds a Momentum Style Score of A, and has a VGM Score of B. The stock is up 7.7% and up 2.3% over the past one-week and four-week period, respectively, and Catalyst Pharmaceutical has gained 5% in the last one-year period as well. Additionally, an average of 1,166,655.38 shares were traded over the last 20 trading sessions.
Momentum investors also pay close attention to a company's earnings. For CPRX, two analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.17 to $1.55 per share for 2023. CPRX boasts an average earnings surprise of 7.2%.
With strong earnings growth, a good Zacks Rank, and top-tier Momentum and VGM Style Scores, investors should think about adding CPRX to their portfolios.
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Catalyst Pharmaceuticals, Inc. (CPRX) : Free Stock Analysis Report
