Best Momentum Stocks to Buy for January 23rd, 2026

Investors often look toward “momentum” stocks when markets show strong price trends. On January 23rd, 2026, several stocks were added to the Zacks Rank #1 (Strong Buy) list specifically within the momentum category, signaling potential opportunities for traders and long-term investors alike. According to Zacks Investment Research, BWMX, LRCX and APH made the cut — each showing accelerating price trends and positive earnings estimate revisions that qualify them as standout momentum stocks.

Understanding Momentum Stocks

Momentum investing is a strategy where investors buy securities that have had high returns over a recent period, expecting the trend to continue. Unlike value investing (which seeks stocks priced below intrinsic value) or income investing (which targets dividends), momentum investing prioritizes price movement. The core idea is that stocks that have been rising will often keep rising — at least for a period — due to market psychology and trends in demand.

How Momentum Stocks Are Identified

Analysts look at a combination of recent price performance, earnings estimate revisions, and relative strength compared to market benchmarks. When a stock consistently outperforms peers and sees rising analyst expectations, it may gain a high “momentum score.” Zacks uses a proprietary rank system where a Zacks Rank #1 indicates a strong buy according to its model.

Top Momentum Picks for January 23rd, 2026

BWMX – Betterware de México, S.A.B. de C.V.

BWMX was highlighted as one of the top momentum stocks on January 23rd, 2026. This implies strong recent price performance and enthusiasm among traders who follow momentum strategies. While individual investors should always conduct their own research before buying, BWMX’s inclusion on the Zacks Rank #1 list suggests optimism around its near-term price trends.

Betterware de México is a consumer goods company that sells household and personal care products. Stocks in the consumer goods space can gain momentum due to stable demand, positive earnings surprises, or macroeconomic trends boosting consumer spending — all of which can lead technical traders to observe rising share prices.

LRCX – Lam Research Corporation

LRCX is a semiconductor equipment maker that supports chip manufacturing worldwide. It appeared on the list as a suggested momentum buy, reflecting both strong price movement and industry tailwinds.

Lam Research has benefited from sustained demand for advanced chips used in AI, data centers, and next-generation computing. Industry analysts have noted its strong earnings outlook and technological leadership as reasons for investor confidence — traits that often push momentum traders toward such stocks. Recent news also shows expectations that LRCX may beat quarterly earnings forecasts, reinforcing positive sentiment.

APH – Amphenol Corporation

APH, another company on the list, is a global producer of electronic connectors and cables. Its products are widely used in industries ranging from automotive to telecommunications. Being named a momentum pick signals that APH has shown significant upward price movement relative to the broader market, making it attractive to traders who follow trend signals.

Electronic components companies like APH can experience price momentum as demand rises for connected devices, electric vehicles, and infrastructure build-outs. When earnings expectations are revised upward and the stock price follows, momentum strategies take notice.

Why These Stocks Made the Cut

The selection process for momentum stocks goes beyond simple price performance. Zacks and other analysts also consider:

• Earnings Estimate Revisions – Stocks with upward revisions in earnings projections often attract investor attention. Zacks places emphasis on companies where earnings estimates have improved.
• Relative Strength – A stock’s performance compared to the overall market or sector benchmark can influence its momentum score.
• Market Trend Confirmation – Sustained trading volume and trend strength support continued momentum.

Risks and Considerations for Momentum Investors

While momentum stocks can offer upside potential, they also come with specific risks:

• Volatility: Momentum stocks can swing sharply if sentiment changes.
• Reversion: If price trends fade, the stock could reverse downward quickly.
• Market Conditions: Broad market weakness can dampen momentum across sectors.

It’s important for investors — especially those new to trading — to balance momentum strategies with other risk management practices, such as setting stop-loss orders or diversifying across multiple assets.

How to Use This Information

Investors looking at these momentum picks might consider the following approaches:

• Long-Term Investing: Use momentum picks as part of a diversified portfolio while focusing on fundamental growth drivers.
• Short-Term Trading: Traders may watch technical indicators like moving averages to decide entry and exit points.
• Research and Analysis: Read company earnings reports, estimate revisions, and news releases to understand why a stock is trending.

Summary: What the January 23rd Momentum List Shows

The January 23rd, 2026 list of recommended momentum stocks from Zacks highlights a mix of companies across industries — from consumer retail to semiconductor manufacturing and electronic components.

Specifically:

• BWMX signals strong price momentum among consumer-oriented names.
• LRCX reflects continued investor interest in technology and semiconductors.
• APH indicates momentum in industrial and electronic supply sectors.

Ultimately, momentum investing requires active monitoring and thoughtful risk assessment. Stocks that show strong trends one day may change direction the next, so understanding both technical and fundamental factors is critical.

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