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?
Momentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.
Sunoco LP (SUN)
Headquartered in Dallas, TX, Sunoco LP is a master limited partnership (MLP). The partnership’s prime business comprises the distribution of motor fuel to roughly 10,000 customers that include independent dealers, commercial customers, convenience stores as well as distributors. The customers are based in more than 30 states. Sunoco GP LLC, a general partner of the partnership, is owned by Energy Transfer Operating LP — an affiliate of Energy Transfer LP.
SUN is a Zacks Rank #3 (Hold) stock, with a Momentum Style Score of A and VGM Score of A. Shares are down 0.9% over the past one week and up 0.2% over the past four weeks. SUN has gained 14.1% in the last one-year period as well. Looking at trading volume, an average of 322,350.84 shares exchanged hands over the last 20 trading days.
Momentum investors also pay close attention to a company's earnings. For SUN, two analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $2 to $9.29 per share for 2024. SUN boasts an average earnings surprise of 8.1%.
With strong earnings growth, a good Zacks Rank, and top-tier Momentum and VGM Style Scores, investors should think about adding SUN to their portfolios.
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Sunoco LP (SUN) : Free Stock Analysis Report