Top-ranked drug distribution giant AmerisourceBergen continues to trade near an all-time high reached in December. On Monday, the Relative Strength (RS) Rating for AmerisourceBergen stock climbed into a new percentile, with an increase from 79 to 82.
The 82 Relative Strength Rating shows that AmerisourceBergen stock outperformed 82% of all stocks over the past 12 months. Market research shows that the best stocks to buy and watch, stocks that go on to make the biggest gains, often have an RS Rating above 80 in the early stages of their moves.
AmerisourceBergen Stock Lingers Near High
AmerisourceBergen stock is building a consolidation with a 174.73 entry after hitting an all-time intraday high at 174.63 on Dec. 2. See if it can clear the breakout price in volume at least 40% higher than normal. On Monday, shares of the distributor of brand name and generic drugs, and other health care products, rose about 0.3% to above 167.
The drug distribution company shows a mixed bag of fundamental and technical ratings. Its technicals really shine. Greater Philadelphia area-based AmerisourceBergen boasts an 86 Earnings Per Share Rating, out of 99, putting it in the top 14% of all companies for recent and long-term profit growth. AmerisourceBergen stock carries an 85 Composite Rating, an amalgam of five other key IBD ratings. And its B- Accumulation/Distribution Rating shows moderately strong buying by mutual funds and other institutions.
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Top-Ranked In Its Group
On the other hand, it's reported growth every quarter the past year but it's been mild growth. That's not too surprising though given its size. It has a roughly $245 billion annual run rate. Large companies tend to grow slower than small ones. Last quarter AmerisourceBergen reported 5% EPS growth to $2.71, on 5% revenue growth to $62.8 billion. The next quarterly results are expected on or around May 2.
AmerisourceBergen stock earns the No. 1 rank among its peers in the Medical-Wholesale Drugs industry group. Dublin, Ohio-based Cardinal Health and McKesson, based in Irving, Texas, are also among the top 5 rated companies in the group.
IBD's proprietary Relative Strength Rating tracks market leadership with a 1 (worst) to 99 (best) score. The grade shows how a stock's price movement over the last 52 weeks stacks up against all the other stocks in our database.
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