Momentum is the term to describe the market anomaly that stocks that have been performing well in the past, relative to their peers, tend to continue to do so in the future.
The below table shows the top 15 momentum stocks from within the S&P500 based on their trailing 12 month return, in other words, their share price performance over the past year. ‘Momentum’ is a well-researched market factor and states that stocks that have out-performed their peers over the medium term tend to continue to outperform over the short-term. Thus by keeping an eye on the stocks within this list, we have a watchlist of potential ideas that will do well over the coming weeks.
