Many investors like to look for momentum in stocks, but this can be very tough to define. There is great debate regarding which metrics are the best to focus on in this regard, and which are not really quality indicators of future performance. Fortunately, with our new style score system we have identified the key statistics to pay close attention to and thus which stocks might be the best for momentum investors in the near term.

This method discovered several great candidates for momentum-oriented investors, but today let’s focus in on FMC Corp. (FMC Quick QuoteFMC - Free Report) as this stock is looking especially impressive right now. And while there are numerous ways in which this company could be a great choice, we have highlighted three of the most vital reasons for FMC’s status as a solid momentum stock below:

Longer Term Price Change for FMC Corp

While any stock can see a spike in price, it takes a real winner to consistently outperform the market. That is why looking at longer term price metrics—such as performance over the past three months or year-- and comparing these to an industry at large can be very useful.

And in the case of FMC, the results are quite impressive. The company has beaten out the industry at large over the past 12 weeks by a margin of 13.77% to 3.17% while it has also outperformed when looking at the past year, putting up a gain of36.10%. Clearly, FMC is riding a bit of a hot streak and is worth a closer look by investors. 

FMC CORP Price

FMC CORP Price | FMC CORP Quote

Quarter EPS Estimate Change for FMC Corp

While looking at price performance or full year earnings can be essential to understanding a momentum stock, you shouldn’t forget about the current quarter EPS and the trend in estimates there. This change can signal how a stock might perform in the next earnings season which is obviously vital for momentum investors.

Right now, FMC is seeing a nice trend over the past month when it comes to this quarter’s earnings estimate projections. In the time frame, EPS estimates for FMC Corphave gone up by 2.35% compared to an industry average move of -4.43%, suggesting that not only is FMC heading in the right direction, but it is seeing an increase relative to the industry too.

FMC Earnings Estimate Revisions Moving in the Right Direction

While the great momentum factors outlined in the preceding paragraphs might be enough for some investors, we should also take into account broad earnings estimate revision trends. A nice path here can really help to show us a promising stock, and we have actually been seeing that with FMC as of late too.

Over the past two months, 10earning estimate have gone higher compared to none lower for the full year, while we are also seeing that 9 estimates have moved upwards with no downward revisions for the next year time frame too. These revisions have helped to boost the consensus estimate as two months ago FMC was expected to post earnings of $2.82/share for the full year, though today it looks to have EPS of $2.72 for the full year now, representing a solid increase which is something that should definitely be welcomed news to would-be investors.

Bottom Line

Given these factors, investors shouldn’t be surprised to note that we have FMC as a security with a Zacks Rank #1 (Strong Buy) and a Momentum Score of ‘A’.You can seethe complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

So if you are looking for a fresh pick that has potential to move in the right direction, definitely keep FMC on your short list as this looks be a stock that is very well-positioned to soar in the near term.

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