One important metric to look for in a stock is an 80 or higher Relative Strength Rating. Alignment Healthcare just hit that mark, with a jump from 78 to 82 Tuesday.
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IBD's proprietary rating measures price action with a 1 (worst) to 99 (best) score. The grade shows how a stock's price movement over the trailing 52 weeks compares to all the other stocks in our database.
History shows that the market's biggest winners often have an RS Rating north of 80 as they begin their biggest climbs.
Alignment Healthcare is now considered extended and out of buy range after clearing a 13.33 buy point in a second-stage double bottom. 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 line.
The company showed 0% earnings growth in the latest quarterly report, while sales growth came in at 49%.
The company earns the No. 1 rank among its peers in the Medical-Managed Care industry group. CVS Health and Humana are also among the group's highest-rated stocks.
This article was created automatically with Stats Perform's Wordsmith software using data and article templates supplied by Investor's Business Daily. An IBD journalist may have edited the article.
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