Stocks

Why Monopar Therapeutics (MNPR) is an Attractive Option for Trend Investing

Published December 3, 2024

In the world of short-term investing, the saying goes, "the trend is your friend." This approach can be highly profitable, but understanding whether a trend is sustainable can be quite challenging.

Sometimes, the trend can reverse unexpectedly before an investor can exit a position, leading to losses. To ensure a successful trade, it's crucial to validate the underlying fundamentals, such as strong earnings estimates and positive revisions, which can help maintain the stock's momentum.

One useful tool for identifying promising stocks is the "Recent Price Strength" screen. This specialized screening method helps investors find stocks with robust fundamentals that are likely to continue their upward trends. It selects stocks that are trading in the upper tiers of their 52-week price range, signaling strong bullish momentum.

Introducing Monopar Therapeutics Inc.

Among the stocks that meet the criteria of this screen is Monopar Therapeutics (MNPR). Below are several key reasons why MNPR emerges as a solid candidate for trend investing.

First and foremost, the stock has experienced a significant price surge, climbing 842.7% over the past twelve weeks. This sharp increase shows that investors are increasingly willing to pay more for the stock's potential upside.

However, assessing a trend's sustainability over a longer period is important. A notable 54% price rise in just the last four weeks suggests that MNPR's upward trend remains intact.

The stock is trading at approximately 83% of its 52-week high-low range, indicating it may be poised for a potential breakout.

From a fundamentals perspective, MNPR holds a Zacks Rank of #2 (Buy), which places it in the top 20% of over 4,000 listed stocks based on earnings estimate revisions and EPS surprises — critical indicators that influence short-term price movements.

The Zacks Rank system classifies stocks on a scale from #1 (Strong Buy) to #5 (Strong Sell), with #1-ranked stocks having historically generated an average annual return of around +25% since 1988. This track record strengthens the case for considering MNPR as a viable option.

Moreover, the stock enjoys an Average Broker Recommendation of #1 (Strong Buy), signaling that analysts are optimistic about its price performance in the near term.

Given these characteristics, it seems unlikely that MNPR will experience a trend reversal in the short term.

In addition to MNPR, many other stocks currently pass through our "Recent Price Strength" filter. Investors may want to explore these options, looking for stocks that meet similar criteria.

This screening method is just one of many tools available to help you identify your next winning stock. Depending on your investment style, you can choose from over 45 specialized Zacks Premium Screens designed to outperform the market.

It's essential to remember that a successful stock-picking strategy relies on historical performance. By using the Zacks Research Wizard, you can backtest the effectiveness of various strategies and access successful stock-picking templates.

Consider signing up for a free trial of the Research Wizard today and discover more about effective stock-picking techniques.

Monopar, Investing, Stocks