Can 4 Relative Price Strength Stocks Defy Market Swings?

After a brief stumble triggered by renewed U.S.-China trade tensions, Wall Street found its footing once again. The market’s sharp selloff, fueled by tariff threats and restrictions on rare earth exports, was quickly followed by a broad rebound as conciliatory comments from both sides hinted at a possible dialogue ahead. Investors saw this as a sign that while the trade conflict remains heated, a full-blown escalation looks unlikely for now.

Major indexes stayed resilient, showing strong underlying momentum even amid policy uncertainty. That balance between volatility and optimism reflects a market still supported by easing monetary policy, solid earnings, and investor confidence in economic stability. In such conditions, relative price strength becomes a powerful approach — helping investors focus on stocks that continue to outperform despite turbulence, the true leaders likely to extend gains once calm returns.

At this stage, investors would be wise to consider stocks such as United Natural Foods (UNFI), Teladoc Health (TDOC), Supernus Pharmaceuticals (SUPN) and BRP Inc. (DOOO) based on their relative price strength.

Relative Price Strength Strategy

Investors generally gauge a stock’s potential returns by examining earnings growth and valuation multiples. At the same time, it’s essential to measure the performance of such a stock relative to its industry, peers, or an appropriate benchmark.

If you see that a stock is underperforming on fundamental factors, it would be prudent to move on and find a better alternative. However, those outperforming their respective sectors in terms of price should be selected because they stand a better chance of providing considerable returns.

Then again, it is imperative that you determine whether or not an investment has relevant upside potential when considering stocks with significant relative price strength. Stocks delivering better than the S&P 500 for 1 to 3 months, at least, and having solid fundamentals, indicate room for growth and are the best ways to go about this strategy.

Finally, it is crucial to find out whether analysts are optimistic about the upcoming earnings of these companies. In order to do this, we have added positive estimate revisions for the current quarter’s (Q1) earnings to our screen. When a stock undergoes an upward revision, it leads to additional price gains.

Screening Parameters

Relative % Price change – 12 weeks greater than 0

Relative % Price change – 4 weeks greater than 0

Relative % Price change – 1 week greater than 0

(We have considered those stocks that have been outperforming the S&P 500 over the last 12 weeks, four weeks and one week.)

% Change (Q1) Est. over 4 Weeks greater than 0: Positive current-quarter estimate revisions over the last four weeks.

Zacks Rank equal to 1: Only Zacks Rank #1 (Strong Buy) stocks — that have returned more than 26% annually over the last 26 years and surpassed the S&P 500 in 23 of the last 26 years — can get through. You can see the complete list of today’s Zacks #1 Rank stocks here.

Current Price greater than or equal to $5 and Average 20-day Volume greater than or equal to 50,000: A minimum price of $5 is a good standard to screen low-priced stocks, while a high trading volume would imply adequate liquidity.

VGM Score less than or equal to B: Our research shows that stocks with a VGM Score of A or B, when combined with a Zacks Rank #1 or 2 (Buy), offer the best upside potential.

Here are four of the seven stocks that made it through the screen:

United Natural Foods: It is the leading distributor of natural, organic and specialty food and non-food products in the United States and Canada. The Zacks Consensus Estimate for fiscal 2026 earnings of United Natural Foods indicates 167.6% growth. Headquartered in Providence, RI, UNFI has a VGM Score of A.

The firm has a market capitalization of $2.5 billion. Notably, over the past 60 days, the Zacks Consensus Estimate for United Natural Foods’ fiscal 2026 earnings has moved up 24.2%. UNFI’s shares have gone up 102% in a year.

Teladoc Health: Based in Purchase, NY, it provides virtual access to high-quality care and expertise with a portfolio of services and solutions. Teladoc Health’s expected EPS growth rate for three to five years is currently 48.4%, which compares favorably with the industry's growth rate of 15.1%. The company has a VGM Score of A.

The Zacks Consensus Estimate for Teladoc Health’s 2025 earnings per share indicates 80.1% year-over-year growth. It beat the Zacks Consensus Estimate for earnings in three of the last four quarters and missed in the other, with the average being 18.3%. TDOC shares have lost 6.1% in a year.

Supernus Pharmaceuticals: Based in Rockville, MD, Supernus Pharmaceuticals develops and commercializes treatments for central nervous system disorders, including epilepsy, migraine, ADHD, and Parkinson’s, with a diverse, established product portfolio. SUPN has a market capitalization of $2.7 billion. It has a VGM Score of B.

Notably, over the past 60 days, the Zacks Consensus Estimate for Supernus Pharmaceuticals’ 2025 earnings has moved up 9.8%. It beat the Zacks Consensus Estimate for earnings in each of the last four quarters, with the average being 80%. SUPN shares have soared 46.8% in a year.

BRP Inc.: Based in Canada, BRP is a global leader in powersports, designing and manufacturing ATVs, SSVs, three-wheelers, snowmobiles, and personal watercraft under brands like Can-Am, Ski-Doo, Lynx, and Sea-Doo. BRP has a market capitalization of $4.8 billion. It has a VGM Score of A.

Notably, over the past 60 days, the Zacks Consensus Estimate for BRP’s fiscal 2026 earnings has moved up 26.2%. It beat the Zacks Consensus Estimate for earnings in each of the last four quarters, with the average being 49.5%. BRP shares have gained 19.9% in a year.

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.

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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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This article originally published on Zacks Investment Research (zacks.com).

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