One important metric to look for in a stock is an 80 or higher Relative Strength Rating. PDC Energy cleared that benchmark Thursday, with a jump from 80 to 83 Thursday.
When looking for the best stocks to buy and watch, one factor to watch closely is relative price strength.
IBD's proprietary RS Rating tracks market leadership by showing how a stock's price movement over the last 52 weeks compares to that of the other stocks in our database.
Decades of market research shows that the stocks that go on to make the biggest gains often have an RS Rating of above 80 in the early stages of their moves.
See How IBD Helps You Make More Money In Stocks
PDC Energy is trading within a buy range after climbing above an 18.99 buy point in a consolidation. Once a stock moves 5% or higher beyond the initial entry, it's considered out of buy range.
Top and bottom line growth moved higher last quarter. Earnings were up 366%, compared to -59% in the prior report. Revenue increased from -86% to -32%.
The company holds the No. 11 rank among its peers in the Oil&Gas-U.S. Exploration & Production industry group. Bonanza Creek Energy, Callon Petroleum and Concho Resources are among the top 5 highly rated stocks within the group.
