On Wednesday, First Solar hit an important technical milestone, seeing its Relative Strength (RS) Rating jump into the 80-plus percentile with an improvement to 81, up from 78 the day before.
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IBD's unique rating tracks share price action with a 1 (worst) to 99 (best) score. The score shows how a stock's price movement over the trailing 52 weeks holds up against all the other stocks in our database.
Decades of market research reveals that the stocks that go on to make the biggest gains often have an 80 or better RS Rating in the early stages of their moves.
First Solar broke out earlier, but has fallen back below the prior 189.50 entry from a cup with handle. If a stock you're tracking clears a buy point then retreats 7% or more below the original entry price, it's considered a failed base. It's best to wait for the stock to form a new pattern and breakout. Also keep in mind that the most recent pattern is a later-stage base, which makes it riskier to establish a new position or add shares to an existing one.
Top and bottom line growth moved higher last quarter. Earnings were up -2%, compared to -11% in the prior report. Revenue increased from 6% to 9%.
The company holds the No. 2 rank among its peers in the Energy-Solar industry group. Nextracker is the No. 1-ranked stock within the group.
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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