Investors should note that earnings estimates are also significant to the Zacks Rank, and a nice path here can be promising. The Zacks Momentum Style Score encompasses many things, including estimate revisions and a stock's price movement. Right now, LSI is averaging 506,971 shares for the last 20 days.
Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. Investors should also take note of LSI's average 20-day trading volume. On the other hand, the S&P 500 has only moved -4.34% and 14.58%, respectively. Shares of Life Storage have increased 3.65% over the past quarter, and have gained 63.46% in the last year. Shares are looking quite well from a longer time frame too, as the monthly price change of 6.72% compares favorably with the industry's 5.01% performance as well.Ĭonsidering longer term price metrics, like performance over the last three months or year, can be advantageous as well.
We also discuss some of the main drivers of the Momentum Style Score, like price change and earnings estimate revisions.įor LSI, shares are up 5.91% over the past week while the Zacks REIT and Equity Trust - Other industry is up 2.47% over the same time period. The Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.īelow, we take a look at Life Storage (LSI), which currently has a Momentum Style Score of B. There is a lot of debate surrounding which metrics are the best to focus on and which are poor quality indicators of future performance. While many investors like to look for momentum in stocks, this can be very tough to define. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key once a stock establishes a course, it is more than likely to continue moving that way. Momentum investing revolves around the idea of following a stock's recent trend in either direction.