Here's Why New York Times Co. (NYT) is a Strong Momentum Stock

Zacks Premium and Style Scores Overview - Zacks Premium offers tools like daily updates of Zacks Rank and Zacks Industry Rank, full access to the Zacks 1 Rank List, Equity Research reports, and Premium stock screens to help investors make informed decisions [1] - Zacks Style Scores are complementary indicators that help investors pick stocks likely to outperform the market over the next 30 days, with ratings from A (best) to F (worst) based on value, growth, and momentum characteristics [2] Style Score Categories - Value Score: Focuses on identifying undervalued stocks using metrics like P/E, PEG, Price/Sales, and Price/Cash Flow ratios [3] - Growth Score: Analyzes a company's future prospects and financial health, considering projected and historic earnings, sales, and cash flow [4] - Momentum Score: Identifies stocks with upward or downward trends using factors like one-week price change and monthly percentage change in earnings estimates [5] - VGM Score: Combines Value, Growth, and Momentum Scores to provide a comprehensive indicator for stock selection [6] Zacks Rank and Style Scores Integration - Zacks Rank uses earnings estimate revisions to help investors build successful portfolios, with 1 (Strong Buy) stocks delivering an average annual return of +25.41% since 1988, outperforming the S&P 500 [7][8] - Over 800 stocks are rated as 1 (Strong Buy) or 2 (Buy) on any given day, making it challenging to select the best stocks without additional tools like Style Scores [9] - Stocks with a Zacks Rank 1 or 2 and Style Scores of A or B offer the highest probability of success, while 3 (Hold) stocks should also have A or B scores for maximum upside potential [10] - Stocks with a 4 (Sell) or 5 (Strong Sell) rating, even with high Style Scores, are likely to underperform due to downward-trending earnings outlooks [11] Case Study: New York Times Co (NYT) - NYT is a diversified media company with a Zacks Rank of 2 (Buy) and a VGM Score of B, making it a strong candidate for momentum investors [12] - NYT shares have risen 2.9% over the past four weeks, with a Momentum Style Score of B and an average earnings surprise of 27.1% [12][13] - One analyst revised their earnings estimate higher for fiscal 2024, and the Zacks Consensus Estimate increased to $1.84 per share [13]