What are momentum stocks?
Momentum stocks are companies whose share prices have been outperforming over recent intermediate-term periods. This ranking focuses on price strength, relative strength, trend confirmation, and return earned per unit of recent volatility.
What are the best momentum stocks right now?
The table highlights the current top 500 momentum stocks from the latest published strategy snapshot. It is a ranked research shortlist, not a personal recommendation or a guaranteed list of stocks to buy.
Is this a momentum stock screener?
Yes, but it is a ranked screener rather than a simple filter. Every stock in the universe receives a 0 to 100 score across price momentum, relative strength, trend confirmation, and risk-adjusted momentum, then the table sorts the strongest combinations first.
How does this momentum stock ranking work?
The ranking uses the NA & Europe universe, then scores stocks across total return momentum, relative momentum, trend confirmation, and risk-adjusted momentum. The simulated strategy buys stocks above rank 95 and sells holdings below rank 85 or below the 200-day moving average.
What makes a high momentum stock?
In this ranking, a high momentum stock has strong total returns across several recent windows, favorable relative strength versus the broader universe, price above major moving averages, and better return relative to recent volatility.
Why does the strategy require positive six-month returns?
The buy rule Ret6M%Chg > 0 avoids adding stocks whose longer intermediate-term momentum is still negative, even if a shorter bounce temporarily improves their rank.
Why use moving averages in a momentum strategy?
Moving-average checks help separate persistent price trends from noisy returns. The ranking rewards price above the 50-day and 200-day averages, and the strategy exits when price falls below the 200-day average.
How many stocks does the momentum strategy hold?
The simulated strategy targets 25 long positions with 4% static weights, rebalanced every 4 weeks. Sector weight is capped below 30% for new buys.
Is MTUM the benchmark?
Yes. The backtest compares the simulated Momentum Stocks strategy with MSCI Momentum (MTUM:USA), while the ranking itself starts from the broader NA & Europe universe.
Are momentum stocks risky?
Yes. Momentum can reverse quickly, crowding can unwind, and high-ranking stocks can still be overvalued or exposed to company-specific risk. This page is a research tool, not financial advice.