On Tuesday, Ashland got an upgrade for its IBD SmartSelect Composite Rating from 93 to a near-perfect 96, out of 99. The upgrade came after the specialty materials maker on Monday reported outstanding fiscal fourth quarter earnings results. Ashland stock shot up nearly 10% early Tuesday and closed up 5.2% at 107.61.
Ashland Stock In Top 4%
The Composite upgrade means Ashland stock is now outperforming 96% of all other stocks in terms of key performance metrics and technical strength.
Wilmington, Del.-based Ashland posted a 20% earnings gain for Q4, to $1.46 per share. Revenue grew 7% to $631 million for the Sept. 30-ended quarter. The company sells its specialty ingredients and additives to corporate customers in a wide variety of industries in more than 100 countries.
"The September quarter concludes a very strong year for Ashland," said Guillermo Novo, Ashland chairman and CEO, in the company's earnings release. "Our commercial, operations, research and development and corporate teams worked diligently throughout the year to drive meaningful sales and earnings growth despite numerous macroeconomic and geopolitical challenges."
Ashland stock is currently forming a consolidation, with a 113.01 entry. Look for the stock to break out in volume at least 40% above average.
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Other Key Ratings
Ashland stock also has a 96 Earnings Per Share Rating, which means its recent quarterly and longer-term annual earnings growth is outpacing 96% of all stocks.
Its Accumulation/Distribution Rating of B- shows moderate buying by institutional investors over the last 13 weeks.
Ashland earns the No. 2 rank among its peers in the Chemicals-Specialty industry group. Albemarle is the top-ranked stock within the group.
