U.S. stock markets have been witnessing a downturn in the past three weeks following the breakout of war in the Middle East. The geopolitical conflicts between the U.S.-Israel joint force and Iran resulted in soaring crude oil and natural gas prices. 

The major oil supply line – the Strait of Hormuz – controlled by Iran, remained severely disturbed. As a result, economists and financial researchers are highly concerned about the global inflationary situation. 

Consequently, just a handful of stocks have shown price strength. We have primarily targeted stocks that have recently been on a bull run. These stocks have a high chance of carrying the momentum forward.

Five such stocks are — Cardinal Infrastructure Group Inc. (CDNL Quick QuoteCDNL - Free Report) , Escalade Inc. (ESCA Quick QuoteESCA - Free Report) , Century Aluminum Co. (CENX Quick QuoteCENX - Free Report) , BrightSpring Health Services Inc. (BTSG Quick QuoteBTSG - Free Report) and Constellium SE (CSTM Quick QuoteCSTM - Free Report) . 

If a stock is continuously witnessing an uptrend, there must be a solid reason, or it would have probably crashed. So, looking at stocks capable of beating the benchmark that they have set for themselves seems rational.

However, recent price strength alone cannot create magic. Therefore, other relevant parameters are needed to create a successful investment strategy.

Here’s how you should create the screen to shortlist the current as well as the potential winners.

Screening Parameters:

Percentage Change in Price (4 Weeks) greater than zero: This criterion shows that the stock has moved higher in the last four weeks. 

Percentage Change Price (12 Weeks) greater than 10: This indicates that the stock has seen momentum over the last three months. This lowers the risk of choosing stocks that may have drawn attention due to the overwhelming performance of the overall market in a very short period. 

Zacks Rank 1: No matter whether market conditions are good or bad, stocks with a Zacks Rank #1 (Strong Buy) have a proven history of outperformance. You can see the complete list of today’s Zacks #1 Rank stocks here.

Average Broker Rating 1: This indicates that brokers are also highly hopeful about the stock’s future performance. 

Current Price greater than 5: The stocks must all be trading at a minimum of $5.

Current Price/ 52-Week High-Low Range more than 85%: This criterion filters stocks that are trading near their respective 52-week highs. It indicates that these are strong enough in terms of price.

Just these few criteria narrowed down the search from over 7,700 stocks to seven.

Let’s discuss five out of those seven stocks here:

Cardinal Infrastructure Group is a full-service turnkey infrastructure service company. CDNL provides infrastructure services to the residential, commercial, industrial, municipal and state infrastructure markets in the United States. CDNL offers wet utility installations, such as water, sewer and stormwater systems, as well as grading, site clearing, erosion control, drilling and blasting, paving and other related site services.

The stock price of CDNL has jumped 34% over the past four weeks. It has an expected earnings growth rate of 52.8% for the current year. The Zacks Consensus Estimate for the current year’s earnings has improved 29.9% over the past 30 days.

Escalade is a diversified company engaged in the manufacture and sale of sporting goods products and office and graphic arts products. ESCA offers a broad and complete product selection that is built on innovation and cutting-edge product design. 

ESCA’s diverse products include table tennis tables and equipment, pool tables and equipment and other game tables which include table soccer, table hockey, and multi games, basketball systems and archery equipment. 

The stock price of ESCA has climbed 28.9% over the past four weeks. The company has expected earnings growth of 6.1% for the current year. The Zacks Consensus Estimate for the current year’s earnings has improved 10.5% over the past 30 days.

Century Aluminum is well-positioned to capitalize on tightening global aluminum fundamentals as demand growth continues to outpace supply, supported by resilient U.S. manufacturing activity and improving macro conditions. The increase in U.S. Section 232 tariffs has strengthened CENX’s Midwest premiums and reinforced domestic pricing power, encouraging supply-chain reshoring. 

The restart of the remaining 50,000 MT at Mt. Holly, expected to reach full production by second-quarter 2026, will further expand CENX’s U.S. primary capacity. Jamalco enhances vertical integration, boosts raw material security, supports margin expansion through operational efficiencies and drives self-sufficiency initiatives.

The stock price of CENX has surged 15.6% over the past four weeks. It has an expected earnings growth rate of more than 100% for the current year. The Zacks Consensus Estimate for the current year’s earnings has improved 42.1% over the past 60 days.

BrightSpring Health Services is the parent company of healthcare service lines that provide complementary home- and community-based pharmacy and provider health solutions for complex populations in need of specialized and/or chronic care.

BTSG operates through two segments, Pharmacy Solutions and Provider Services. BTSG’s platform focuses on delivering pharmacy and provider services, including clinical and supportive care in home and community settings to Medicare, Medicaid, and insured populations.

The stock price of BTSG has advanced 9.5% over the past four weeks. It has an expected earnings growth rate of 61% for the current year. The Zacks Consensus Estimate for the current year’s earnings has improved 15% over the past 30 days.

Constellium SE develops innovative, value-added aluminium products for aerospace, automotive and packaging markets and applications. CSTM operates through three segments: Packaging & Automotive Rolled Products, Aerospace & Transportation, and Automotive Structures & Industry.

The stock price of CSTM has gained 7.5% in the past four weeks. The company has an expected earnings growth rate of 6.8% for the current year. The Zacks Consensus Estimate for the current year’s earnings has improved 12.6% over the past 30 days.