Heavy equipment maker Terex saw a welcome improvement to its Relative Strength (RS) Rating on Tuesday, rising from 69 to 73, though it fell back to a 70 RS Rating at the end of the day. But its surging profit and sales numbers are really what make this stock one to watch. Terex stock eased fractionally Tuesday amid a market pullback.
Over the last four quarters, Terex reported revenue growth of 23%, 23%, 30% and 15%. Over that same period its earnings popped 63%, 116%, 120% and 46%.
Terex Stock Nearing Benchmark
The 73 RS Rating shows that Caterpillar-rival Terex stock outpaces 73% of all stocks for price performance. It's nearing a benchmark. Market research shows that the best-performing stocks typically have an 80 or better RS Rating in the early stages of their moves.
Looking For Winning Stocks? Try This Simple Routine
Terex stock dropped to a 26.64 low at the beginning of July 2022, then turned up. It's more than doubled in the 18 months since then and closed at 56.81 Tuesday.
Terex stock is building a consolidation with a 65.64 buy point. See if the stock can clear the breakout price in volume at least 40% higher than normal. Note that it's a third-stage base. Later-stage patterns can work, but are less likely to lead to a breakout.
Among its other key ratings, Terex stock has a strong 91 Composite Rating, and an outstanding 94 Earnings Per Share Rating.
Fundamentals Strong; Funds Taking Notice
Its B- Accumulation/Distribution Rating shows that big funds are buying more shares than selling. And its A SMR Rating (sales + profit margins + return on equity) reflects excellent fundamentals.
Terex stock earns the No. 2 rank among its peers in the five-stock Machinery-Construction/Mining industry group. Caterpillar is No. 1 and Manitowoc is No. 3 among the group's highest-rated stocks.
When looking for the best stocks to buy and watch, check out relative price strength, a good indicator of rising stocks.
The unique IBD Relative Strength Rating tracks market leadership by using a 1 (worst) to 99 (best) score that identifies how a stock's price action over the last 52 weeks matched up against all other stocks.
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