Fast-paced Momentum Stock Carrols Restaurant (TAST) Is Still Trading at a Bargain
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 16 2024
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Source: NASDAQ.COM
- Momentum Investing Strategy:
- Momentum investors focus on buying high and selling higher rather than waiting for cheap stocks to recover.
- Fast-moving trending stocks can lose momentum if future growth potential doesn't justify their valuation, leading to limited upside or downside risks.
- Identifying Momentum Stocks:
- Zacks Momentum Style Score and 'Fast-Paced Momentum at a Bargain' screen help identify attractively priced fast-moving stocks.
- Carrols Restaurant Group (TAST) is highlighted as a stock with positive momentum indicators.
- TAST Stock Analysis:
- TAST shows recent price increases, sustained positive returns over 12 weeks, and fast-paced momentum with a beta of 2.48.
- The stock has a favorable Momentum Score of A and a Zacks Rank #2 (Buy) due to upward earnings estimate revisions.
- Valuation and Potential:
- Despite its momentum features, TAST is trading at a reasonable valuation with a low Price-to-Sales ratio of 0.27.
- The stock appears to have room for further growth at a fast pace.
- Investment Recommendations:
- Apart from TAST, other stocks meeting the momentum criteria are suggested for investment consideration.
- Investors can explore various Zacks Premium Screens tailored to different investing styles for potential stock picks.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
