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Essent Meets 80-Plus Relative Strength Rating Benchmark


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Essent ( ESNT ) saw a welcome improvement to its Relative Strength ( RS ) Rating on Friday, rising from 78 to 82.

[ibd-display-video id=3105496 width=50 float=left autostart=true] IBD's proprietary RS Rating identifies technical performance by showing how a stock's price action over the last 52 weeks measures up against that of other stocks on the major indexes.

Over 100 years of market history shows that the top-performing stocks often have an RS Rating of above 80 as they launch their biggest climbs.

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The stock, which is on both the IBD 50 and Sector Leaders screens, is now considered extended and out of buy range after clearing a 41.54 buy point in a first-stage flat base . See if the stock forms a new pattern or follow-on buying opportunity like a three-weeks tight or pullback to the 50-day or 10-week moving average.

The company reported 26% EPS growth last quarter, while sales growth came in at 24%. The next quarterly numbers are expected on or around Feb. 10.

Essent earns the No. 1 rank among its peers in the Finance-Mortgage & Related Services industry group. LendingTree ( TREE ) and HFF ( HF ) are also among the group's highest-rated stocks.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.



This article appears in: Investing , Stocks
Referenced Symbols: ESNT , RS , TREE , HF


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