When the clock's ticking down and the game's on the line, which of your teammates do you trust to sink a winning shot? Sure, you could dish the rock to your resident superstar -- but what if he's playing ice-cold at the moment? So instead, you pass to the guy with the hot hand, the one who'll be deemed en fuego tomorrow on ESPN.
Momentum investors are looking for stocks in a similar state of sizzle. But momentum by itself will only get you so far. I prefer to find high-quality stocks that also have some positive inertia on their side. It's like kicking the ball out to your team's superstars when they do have a hot hand.
There's no doubt that now's a tough time to try and find winners out there. To suss out the current league leaders, I ran a simple momentum screen on The Motley Fool's CAPS screener. The performance of each of the stocks below managed to surpass the S&P 500's 8% gain over the past month, and each has been rated highly by CAPS players.
Stock
Four Week Change
12 Month Change
CAPS Rating (out of 5)
Dow Chemical (NYSE: DOW)
49.0%
(59.8%)
****
Alcoa (NYSE: AA)
26.8%
(71.9%)
****
Yingli Green Energy (NYSE: YGE)
25.8%
(59.0%)
****
Vale (NYSE: VALE)
21.8%
(53.7%)
*****
America Movil (NYSE: AMX) Continued... |