Why USA Compression Partners (USAC) is a Top Momentum Stock for the Long-Term

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Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.

While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.

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.

USA Compression Partners (USAC)

Founded in 1998, USA Compression Partners, LP is one of the largest independent natural gas compression services providers across the United States in terms of fleet horsepower. Structured as a master limited partnership ("MLP") with the Energy Transfer family owning approximately 48%, it primarily focuses on large-horsepower applications (greater than 1,000 horsepower) in a number of areas including the Permian/Delaware, Marcellus/Utica, Mid-Continent/SCOOP/STACK, South Texas, East Texas, Louisiana, Rockies. The firm is also involved in engineering, design, operation, service, and repair of compressor units.

USAC boasts a Momentum Style Score of B and VGM Score of A, and holds a Zacks Rank #3 (Hold) rating. Shares of USA Compression Partners has seen some interesting price action recently; the stock is up 1.7% over the past one week and up 1.3% over the past four weeks. And in the last one-year period, USAC has gained 4.3%. As for the stock's trading volume, 393,303.91 shares on average were traded over the last 20 days.

A company's earnings performance is important for momentum investors as well. For fiscal 2024, two analysts revised their earnings estimate higher in the last 60 days for USAC, while the Zacks Consensus Estimate has increased $0.05 to $0.82 per share. USAC also boasts an average earnings surprise of 5.5%.

With strong earnings growth, a good Zacks Rank, and top-tier Momentum and VGM Style Scores, investors should think about adding USAC to their portfolios.

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