Methanex continues to put up stunning earnings growth numbers amid the energy sector boom, and is trading near a fresh buy point. The methanol producer's stock Relative Strength (RS) Rating hit 93, of a best 99, on Wednesday. That's up from as low as 66 less than a month ago. Methanex stock was up 2.8% Wednesday afternoon.
The 93 RS Rating means that Methanex stock has outperformed 93% of all stocks over the past year. The market's biggest winners typically have an RS Rating of over 80 in the early stages of their moves.
Methanex Stock In Top 6%
Last quarter, Methanex's earnings surged more than 1,000%, from 15 cents per share a year earlier to $2.43 per share. EPS grew 970%, 248% and 225% the prior three quarters. Sales have also risen rapidly in that period and last quarter popped 54% to $1.25 billion.
Vancouver, Canada-based Methanex produces methanol used in fuel, formaldehyde and a variety of other products. The company says on its web site that it is the world's largest producer and supplier of methanol to major international markets.
Among its other key ratings, Methanex stock has a strong 94 Composite Rating, putting it in the top 6% of stocks overall.
IBD's Composite Rating combines five separate proprietary ratings of fundamental and technical performance into one easy-to-use rating. The best growth stocks have a Composite Rating of 90 or better.
Its EPS Rating of 74 is good but not great. It will likely improve based on recent robust earnings growth. It has a A SMR Rating (sales+profit margins+return on equity) on an A to E scale with A tops. The excellent SMR rating reflects sound fundamentals at the company.
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Methanex stock is working on a consolidation with a 52.98 entry. See if it can clear the breakout price in volume at least 40% above average.
Methanex stock holds the No. 4 rank among its peers in the Chemicals-Specialty industry group. Element Solutions and The Chemours Company are also among the group's highest-rated stocks.
When you're researching the best stocks to buy and watch, keep a close on eye on relative price strength.
This exclusive Relative Strength Rating from Investor's Business Daily measures price action with a 1 (worst) to 99 (best) score. The rating shows how a stock's price movement over the last 52 weeks stacks up against all the other stocks in our database
