U.S. stock markets have performed mixed in November. The first week of this month was a fabulous due to Donald Trump’s massive win as the 47Th president of the United States and the Fed’s decision to lower the benchmark interest rate by 25 basis points after reducing the Fed fund rate by an aggressive 50 basis points in September. 

However, last week was a disappointing one for Wall Street. Concerns about Trump’s economic policies and their impact on inflation and the hawkish statement by the Fed Chairman Jerome Powell on future rate cuts dented investors’ confidence in risky assets like equities.

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

Five such stocks are — Sezzle Inc. SEZL, Kingstone Companies Inc. KINS, Graham Corp. GHM, Interface Inc. TILE and Climb Global Solutions Inc. CLMB.

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 14.

Let’s discuss five out of these 14 stocks:

Sezzle Inc. operates as a technology-enabled payments company primarily in the United States and Canada. SEZL provides its proprietary payments solution in-store and at online retail stores that connect consumers with merchants. 

SEZL also offers the Sezzle Platform, which provides a payments solution for consumers that extends credit at the point-of-sale, allowing consumers to purchase and receive the ordered merchandise at the time of sale while paying in installments over time. 

The stock price of Sezzle has soared 103% in the past four weeks. The company has expected earnings growth of more than 100% for the current year. The Zacks Consensus Estimate for the current year has improved 45.8% over the last 30 days.

Kingstone Companies Inc. is engaged in the ownership of an insurance company. KINS focuses on automobile, motorcycle and homeowners’ insurance and its customer base is primarily individuals rather than businesses. There are three Atlantic Insurance locations in eastern Pennsylvania. Each of the Barry Scott, Atlantic Insurance and Accurate Agency locations is wholly owned by KINS.

The stock price of KINS has jumped 40.6% in the past four weeks. The company has expected earnings growth of more than 100% for the current year. The Zacks Consensus Estimate for the current year has improved 36% over the last 30 days.

Graham Corp. designs and builds vacuum and heat transfer equipment for process industries and energy markets worldwide. GHM’s products include steam jet ejector vacuum systems and liquid ring vacuum pumps, surface condensers, Heliflows, water heaters, and various types of heat exchangers. GHM sells products to chemical, petrochemical, petroleum refining, and electric power generating industries, including cogeneration and geothermal plants.

The stock price of Graham has climbed 37.9% in the past four weeks. It has an expected earnings growth rate of more than 100% for the current year (ending March 2025). The Zacks Consensus Estimate for current-year earnings has improved 8.4% over the last 30 days.

Interface Inc. designs, produces, and sells modular carpet products primarily worldwide. TILE operates in two segments, Americas, and Europe, Africa, Asia and Australia. TILE offers modular carpets under the Interface and FLOR brand names, luxury vinyl tiles, carpet tiles under the CQuestGB name for use in commercial interiors, include offices, healthcare facilities, airports, educational and other institutions, hospitality spaces, and retail facilities, as well as residential interiors, and modular resilient flooring products. 

TILE also provides carpet replacement, installation, and maintenance services; and rubber flooring under the norament and noraplan brand names, as well as produces and sells an adapted version of its carpet tile for the healthcare facilities market.

The stock price of Interface has surged 37.3% in the past four weeks. It has an expected earnings growth rate of 37% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 7% over the last 30 days.

Climb Global Solutions Inc. operates as a value-added information technology distribution and solutions company in the United States, Canada, Europe, the United Kingdom, and internationally. CLMB operates in two segments — Distribution and Solutions. CLMB markets its products through its own web sites, local and on-line seminars, events, webinars, and social media, as well as direct email and printed materials.

CLMB distributes technical software to corporate and value-added resellers, consultants, and systems integrators under the name Climb Channel Solutions, and provides cloud solutions and resells software, hardware, and services under the name Grey Matter. 

The stock price of Climb Global Solutions has appreciated 26.6% in the past four weeks. The company has expected earnings growth of 52.2% for the current year. The Zacks Consensus Estimate for the current year has improved 26.2% over the last 30 days.

You can get the rest of the stocks on this list by signing up now for your 2-week free trial to the Research Wizard and start using this screen in your own trading. Further, you can also create your own strategies and test them first before taking the investment plunge.

The Research Wizard is a great place to begin. It's easy to use. Everything is in plain language. And it's very intuitive. Start your Research Wizard trial today. And the next time you read an economic report, open up the Research Wizard, plug your finds in, and see what gems come out.

Click here to sign up for a free trial to the Research Wizard today.

Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.

Disclosure: Performance information for Zacks’ portfolios and strategies are available at: https://www.zacks.com/performance.

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Graham Corporation (GHM) : Free Stock Analysis Report

Interface, Inc. (TILE) : Free Stock Analysis Report

Kingstone Companies, Inc (KINS) : Free Stock Analysis Report

Climb Global Solutions, Inc. (CLMB) : Free Stock Analysis Report

Sezzle Inc. (SEZL) : Free Stock Analysis Report

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