Here's Why Labcorp Holdings (LH) is a Strong Momentum Stock

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.

Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.

Momentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.

Headquartered in Burlington, NC, Labcorp Holdings, Inc. or Labcorp, is a leading healthcare diagnostics company, providing comprehensive clinical laboratory services and end-to-end drug development support. In 2015, Labcorp acquired NJ based Covance, a drug development services company providing a wide range of early stage and late-stage product development services on a worldwide basis primarily to the pharmaceutical and biotechnology industries.

LH is a Zacks Rank #3 (Hold) stock, with a Momentum Style Score of B and VGM Score of A. Shares are up 2.4% over the past one week and up 9.4% over the past four weeks. LH has gained 22.2% in the last one-year period as well. Looking at trading volume, an average of 718,396 shares exchanged hands over the last 20 trading days.

A company's earnings performance is important for momentum investors as well. For fiscal 2025, eight analysts revised their earnings estimate higher in the last 60 days for LH, while the Zacks Consensus Estimate has increased $0.25 to $16.3 per share. LH also boasts an average earnings surprise of 2.5%.

LH should be on investors' short list because of its impressive earnings fundamentals, a good Zacks Rank, and strong Momentum and VGM Style Scores.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Labcorp Holdings Inc. (LH) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research

Scroll to Top