Why QuidelOrtho (QDEL) is a Top Momentum Stock for the Long-Term

QuidelOrtho (QDEL), a provider of in-vitro diagnostics technologies, is highlighted as a stock of interest for momentum investors, with shares up 7.1% over the past four weeks. While QDEL holds a Zacks Rank of #3 (Hold), it boasts a VGM Score of A and a Momentum Style Score of B, supported by upward earnings estimate revisions with the fiscal year 2025 consensus increasing to $2.35 per share; the company also demonstrates an average earnings surprise of 70.8%.

Analysis

QuidelOrtho (QDEL) is presented as a noteworthy medical stock for momentum investors, despite its current Zacks Rank of #3 (Hold). The company's shares have appreciated 7.1% over the past four weeks, and it holds a favorable Momentum Style Score of B alongside a top-tier VGM Score of A, according to Zacks' proprietary rating system. This positive momentum is further underpinned by upward revisions to its fiscal 2025 earnings estimates, with the Zacks Consensus Estimate increasing by $0.01 to $2.35 per share following two analyst upgrades in the last 60 days. Additionally, QDEL has demonstrated a strong history of exceeding earnings expectations, evidenced by an average earnings surprise of 70.8%. These factors suggest that while the broader outlook is neutral, specific momentum and fundamental indicators, including positive analyst sentiment on future earnings, are currently favorable for the in-vitro diagnostics technology provider.

Key Decisions for Investors

• Investors with a momentum-driven approach should consider QDEL, given its recent 7.1% share price increase, 'B' Momentum Style Score, and positive revisions to FY2025 earnings forecasts.
• The combination of a Zacks Rank #3 (Hold) with strong 'A' VGM and 'B' Momentum scores, plus a significant 70.8% average earnings surprise, suggests QDEL warrants careful consideration for potential upside, particularly if earnings momentum continues.
• Prospective investors should monitor for any changes to QDEL's Zacks Rank or further analyst estimate revisions, as these will be critical in validating the current positive momentum signals against the neutral overall rating.