One important metric to look for in a stock is an 80 or higher Relative Strength Rating. Powell Industries now clears that threshold, with a jump from 79 to 86 Friday.
Hone Your Stock-Picking Skills By Focusing On These Factors
IBD's proprietary rating measures market leadership with a 1 (worst) to 99 (best) score. The rating 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 shows that the best-performing stocks typically have an RS Rating north of 80 as they begin their biggest price moves.
Powell Industries has climbed more than 5% past a 198.49 entry in a second-stage cup with handle, meaning it's now out of a proper buy range. Look for the stock to create a new chance to get in like a three-weeks tight or pullback to the 50-day or 10-week moving average.
Powell Industries showed 39% EPS growth last quarter, while sales growth came in at 9%. Keep an eye out for the company's next round of numbers on or around Aug. 5.
The company holds the No. 8 rank among its peers in the Electrical Power/Equipment industry group. Vertiv Holdings, American Superconductor and Eaton are among the top 5 highly rated stocks 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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