Workflow
Why Omnicell (OMCL) is a Top Value Stock for the Long-Term
OMCLOmnicell(OMCL) ZACKS·2025-03-25 14:40

Core Insights - Zacks Premium provides various tools for investors to enhance their stock market strategies and confidence [1] - The Zacks Style Scores are designed to help investors select stocks with the highest potential to outperform the market in the short term [2] Zacks Style Scores Overview - Stocks are rated based on value, growth, and momentum characteristics, with scores ranging from A to F, where A indicates the highest potential for outperformance [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [3][4][5][6] Value Score - The Value Score identifies attractive stocks using various financial ratios, helping value investors find undervalued opportunities [3] Growth Score - The Growth Score emphasizes a company's financial health and future growth potential, analyzing projected and historical earnings, sales, and cash flow [4] Momentum Score - The Momentum Score assists investors in capitalizing on price trends, utilizing metrics like short-term price changes and earnings estimate revisions [5] VGM Score - The VGM Score combines the three Style Scores to highlight stocks with the best overall value, growth, and momentum characteristics [6] Zacks Rank Integration - The Zacks Rank, based on earnings estimate revisions, is a key tool for stock selection, with 1 (Strong Buy) stocks historically yielding an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [7][8] - Investors are encouraged to focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal investment potential [9] Stock Highlight: Omnicell Inc. (OMCL) - Omnicell Inc. specializes in automation solutions for the medication-use process, offering a range of products from dispensing systems to decision support applications [11] - Currently rated 3 (Hold) with a VGM Score of B, OMCL has a forward P/E ratio of 19.8, making it attractive for value investors [12] - Recent earnings estimates for fiscal 2025 have been revised upward, with the Zacks Consensus Estimate now at $1.78 per share, and an impressive average earnings surprise of 99.5% [12][13]