Why Snap-On (SNA) is a Top Momentum Stock for the Long-Term

Group 1: Zacks Premium and Style Scores - Zacks Premium offers various tools for investors to enhance their stock market strategies, including daily updates on Zacks Rank and Industry Rank, Equity Research reports, and Premium stock screens [1] - The Zacks Style Scores are complementary indicators that rate stocks based on value, growth, and momentum methodologies, helping investors identify stocks likely to outperform the market in the next 30 days [2][3] Group 2: Style Score Categories - The Value Score focuses on identifying undervalued stocks by analyzing ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [3] - The Growth Score assesses a company's financial strength and future outlook by examining projected and historical earnings, sales, and cash flow [4] - The Momentum Score identifies optimal times to invest based on price trends and earnings estimate changes [5] - The VGM Score combines the three Style Scores to highlight stocks with attractive value, strong growth forecasts, and promising momentum [6] Group 3: Zacks Rank and Stock Selection - The Zacks Rank is a proprietary model that uses earnings estimate revisions to simplify portfolio building, with 1 (Strong Buy) stocks achieving an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [7][8] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B to maximize returns [9] - Stocks with a 4 (Sell) or 5 (Strong Sell) rating, even with high Style Scores, are likely to have declining earnings forecasts and increased risk of price drops [10] Group 4: Company Spotlight - Snap-On Incorporated - Snap-On Incorporated, based in Kenosha, WI, is a global provider of professional tools and equipment for various industrial users, including vehicle service centers and OEMs [11] - Snap-On has a Zacks Rank of 3 (Hold) and a VGM Score of B, with a Momentum Style Score of A, indicating a 2.4% increase in shares over the past four weeks [12] - The company has seen a positive revision in earnings estimates for fiscal 2025, with the Zacks Consensus Estimate rising to $19.79 per share and an average earnings surprise of 1.1% [12][13]