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5 Momentum Stocks to Buy for May After a Mixed April
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Wall Street saw severe volatility and almost day-to-day fluctuations in both directions in April. Finally, U.S. stock markets ended mixed last month. The S&P 500 and the Dow fell 3.2% and 0.8%, respectively. However, the Nasdaq Composite gained 0.9%.
Wall Street has seen severe volatility in April owing to the imposition of President Donald Trump’s tariffs and trade-related policies. A large section of economists and financial researchers have warned of a near-term recession too. The U.S. GDP contracted for the first time in three years in first-quarter 2025.
Nevertheless, a better-than-expected nonfarm payrolls data for April and optimism for U.S. government’s trader and tariffs related negotiations on various major economies including China will boost market participants’ confidence in risky assets like equities.
At this stage, it will be prudent to invest in stocks with a favorable Zacks Rank that have momentum in May. Five such stocks are: Sprouts Farmers Market Inc. (SFM - Free Report) , Philip Morris International Inc. (PM - Free Report) , Sony Group Corp. (SONY - Free Report) , Agnico Eagle Mines Ltd. (AEM - Free Report) and NatWest Group plc (NWG - Free Report) .
The chart below shows the price performance of our five picks in the past month.
Image Source: Zacks Investment Research
Sprouts Farmers Market Inc.
Sprouts Farmers’ focus on product innovation, emphasis on e-commerce, expansion of private label offerings and targeted marketing with everyday great pricing bodes well. SFM has been lowering operational complexity, optimizing production, improving in-stock position and updating to smaller-format stores. These efforts helped SFM post better-than-expected fourth-quarter 2024 results, wherein both the top and the bottom lines grew year over year.
Buoyed by the performance, Sprouts Farmers provided a decent 2025 view. SFM expects net sales to rise between 10.5% and 12.5% with comps anticipated to increase in the range of 4.5-6.5%. SFM’s strong sales growth, margin expansion and disciplined financial management position it as a compelling investment opportunity.
Sprouts Farmers has an expected revenue and earnings growth rate of 13.4% and 30.7%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 5.2% over the last seven days.
Philip Morris International Inc.
Philip Morris has benefited from strong pricing power and an expanding smoke-free product portfolio. PM has been making significant progress with its smoke-free transition, with products like IQOS and ZYN contributing to strong performance. In fact, PM aims to become substantially smoke-free by 2030.
Philip Morris is set for another year of robust growth in 2025, driven by increasing demand across all product categories. PM anticipates positive volume growth for the fifth consecutive year, with an expected increase of 2%. Smoke-free products remain a key growth driver, projected to expand by 12-14%, reinforcing PM’s strategic shift toward reduced-risk alternatives.
Philip Morris has an expected revenue and earnings growth rate of 8.1% and 13.7%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 4.6% over the last 30 days.
Sony Group Corp.
Sony Group is poised to grow on strength across Game & Network Services (G&NS), Music and Financial Services amid woes in the Entertainment, Technology & Services (ET&S) unit. SONY’s Financial Services revenues are benefiting from sales growth at Sony Life and higher investment gains from market volatility.
SONY’s The Music unit’s sales are backed by higher revenues from streaming services in Recorded Music and Music Publishing. Solid hardware and non-first-party game software sales and forex impacts are fueling the GN&S unit. Driven by momentum in Financial Services and G&NS units, SONY has raised its fiscal 2024 sales view to ¥13,200 billion from ¥12,710 billion.
Sony Group has an expected revenue and earnings growth rate of 0.7% and 14.4%, respectively, for the current year (March 2026). The Zacks Consensus Estimate for current-year earnings has improved 0.7% over the last seven days.
Agnico Eagle Mines Ltd.
Agnico Eagle Mines is focused on executing projects that are expected to provide additional production growth. The Kittila expansion promises cost savings, while acquisitions like Hope Bay and the merger with Kirkland Lake Gold strengthen its market position.
Merger with Kirkland Lake Gold established the new AEM as the industry's highest-quality senior gold producer. Higher gold prices are also expected to drive AEM’s margins. AEM’s strategic diversification mitigates risks, supported by prudent debt management and financial flexibility.
Agnico Eagle Mines has an expected revenue and earnings growth rate of 20.6% and 44.4%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 6.1% over the last seven days.
NatWest Group plc
NatWest Group provides banking and financial products and services to personal, commercial, corporate, and institutional customers in the United Kingdom and internationally. NWG operates through Retail Banking, Private Banking, and Commercial & Institutional segments.
NWG provides personal and business banking, consumer loans, asset and invoice finances, commercial and residential mortgages, credit cards and financial planning services, as well as life, personal and income protection insurance.
NatWest Group has an expected revenue and earnings growth rate of 10.8% and 12.8%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 2.7% over the last seven days.
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5 Momentum Stocks to Buy for May After a Mixed April
Wall Street saw severe volatility and almost day-to-day fluctuations in both directions in April. Finally, U.S. stock markets ended mixed last month. The S&P 500 and the Dow fell 3.2% and 0.8%, respectively. However, the Nasdaq Composite gained 0.9%.
Wall Street has seen severe volatility in April owing to the imposition of President Donald Trump’s tariffs and trade-related policies. A large section of economists and financial researchers have warned of a near-term recession too. The U.S. GDP contracted for the first time in three years in first-quarter 2025.
Nevertheless, a better-than-expected nonfarm payrolls data for April and optimism for U.S. government’s trader and tariffs related negotiations on various major economies including China will boost market participants’ confidence in risky assets like equities.
At this stage, it will be prudent to invest in stocks with a favorable Zacks Rank that have momentum in May. Five such stocks are: Sprouts Farmers Market Inc. (SFM - Free Report) , Philip Morris International Inc. (PM - Free Report) , Sony Group Corp. (SONY - Free Report) , Agnico Eagle Mines Ltd. (AEM - Free Report) and NatWest Group plc (NWG - Free Report) .
These stocks have provided double-digit returns in the past month. Each of the stocks sports a Zacks Rank #1 (Strong Buy) at present and has a Zacks Momentum Score of A or B. You can see the complete list of today’s Zacks #1 Rank stocks here.
The chart below shows the price performance of our five picks in the past month.
Image Source: Zacks Investment Research
Sprouts Farmers Market Inc.
Sprouts Farmers’ focus on product innovation, emphasis on e-commerce, expansion of private label offerings and targeted marketing with everyday great pricing bodes well. SFM has been lowering operational complexity, optimizing production, improving in-stock position and updating to smaller-format stores. These efforts helped SFM post better-than-expected fourth-quarter 2024 results, wherein both the top and the bottom lines grew year over year.
Buoyed by the performance, Sprouts Farmers provided a decent 2025 view. SFM expects net sales to rise between 10.5% and 12.5% with comps anticipated to increase in the range of 4.5-6.5%. SFM’s strong sales growth, margin expansion and disciplined financial management position it as a compelling investment opportunity.
Sprouts Farmers has an expected revenue and earnings growth rate of 13.4% and 30.7%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 5.2% over the last seven days.
Philip Morris International Inc.
Philip Morris has benefited from strong pricing power and an expanding smoke-free product portfolio. PM has been making significant progress with its smoke-free transition, with products like IQOS and ZYN contributing to strong performance. In fact, PM aims to become substantially smoke-free by 2030.
Philip Morris is set for another year of robust growth in 2025, driven by increasing demand across all product categories. PM anticipates positive volume growth for the fifth consecutive year, with an expected increase of 2%. Smoke-free products remain a key growth driver, projected to expand by 12-14%, reinforcing PM’s strategic shift toward reduced-risk alternatives.
Philip Morris has an expected revenue and earnings growth rate of 8.1% and 13.7%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 4.6% over the last 30 days.
Sony Group Corp.
Sony Group is poised to grow on strength across Game & Network Services (G&NS), Music and Financial Services amid woes in the Entertainment, Technology & Services (ET&S) unit. SONY’s Financial Services revenues are benefiting from sales growth at Sony Life and higher investment gains from market volatility.
SONY’s The Music unit’s sales are backed by higher revenues from streaming services in Recorded Music and Music Publishing. Solid hardware and non-first-party game software sales and forex impacts are fueling the GN&S unit. Driven by momentum in Financial Services and G&NS units, SONY has raised its fiscal 2024 sales view to ¥13,200 billion from ¥12,710 billion.
Sony Group has an expected revenue and earnings growth rate of 0.7% and 14.4%, respectively, for the current year (March 2026). The Zacks Consensus Estimate for current-year earnings has improved 0.7% over the last seven days.
Agnico Eagle Mines Ltd.
Agnico Eagle Mines is focused on executing projects that are expected to provide additional production growth. The Kittila expansion promises cost savings, while acquisitions like Hope Bay and the merger with Kirkland Lake Gold strengthen its market position.
Merger with Kirkland Lake Gold established the new AEM as the industry's highest-quality senior gold producer. Higher gold prices are also expected to drive AEM’s margins. AEM’s strategic diversification mitigates risks, supported by prudent debt management and financial flexibility.
Agnico Eagle Mines has an expected revenue and earnings growth rate of 20.6% and 44.4%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 6.1% over the last seven days.
NatWest Group plc
NatWest Group provides banking and financial products and services to personal, commercial, corporate, and institutional customers in the United Kingdom and internationally. NWG operates through Retail Banking, Private Banking, and Commercial & Institutional segments.
NWG provides personal and business banking, consumer loans, asset and invoice finances, commercial and residential mortgages, credit cards and financial planning services, as well as life, personal and income protection insurance.
NatWest Group has an expected revenue and earnings growth rate of 10.8% and 12.8%, respectively, for the current year. The Zacks Consensus Estimate for current-year earnings has improved 2.7% over the last seven days.