KMG Chemicals ( KMG ) saw an improvement in its IBD SmartSelect Composite Rating Tuesday, from 94 to 96.
[ibd-display-video id=2368044 width=50 float=left autostart=true] The revised score means the stock currently tops 96% of all other stocks in terms of key performance metrics and technical strength. History shows the top market performers tend to have a 95 or higher score as they launch their major climbs.
KMG Chemicals is currently forming a cup with handle , with a 59.50 entry. Look for the stock to break out in heavy trade at least 40% above average. But note that it's a later-stage base, and such bases are more prone to failure.
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The stock sports a 94 EPS Rating, meaning its recent quarterly and annual earnings growth tops 94% of all stocks.
Its Accumulation/Distribution Rating of A- shows heavy buying by institutional investors, such as mutual funds and pension funds, over the last 13 weeks.
In Q1, the company reported 73% earnings growth. Top line growth increased 45%, up from 28% in the prior quarter. The company has now posted increasing growth in each of the last two reports.
KMG Chemicals holds the No. 2 rank among its peers in the Chemicals-Specialty industry group. Ferro ( FOE ) is the top-ranked stock within the group.
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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.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
