Aerospace systems maker and industrial conglomerate Crane went public at the end of March. It quickly formed its first base and shot up about 20% like an arrow from the bottom. On Monday the Relative Strength (RS) Rating for Crane stock moved up into a new percentile, as it climbed from 70 to 75.
The upgraded 75 RS Rating puts Crane stock among the top 25% for price performance this past year. Market research shows the market's biggest winners typically have an RS Rating north of 80 in the early stages of their moves. See if Crane can continue to rebound and hit that benchmark. Meanwhile, its other ratings are higher and confirm it's among the market leaders.
Crane Stock Ratings Are Outstanding
Crane stock also has an 83 Composite Rating, putting it in the top 17% of companies on a group of the five most important fundamental and technical metrics. Its Earnings Per Share Rating is an outstanding 91, out of 99. And its B+ Accumulation/Distribution Rating, on an A+ to E scale, shows that big money investors such as mutual funds and ETFs are fairly heavy buyers of its stock. Additionally, the number of top-rated funds holding Crane shares leapt from 615 in March to 300 in June.
Stamford, Conn.-based Crane, formerly Crane Holding Co., makes high-precision tech systems for commercial, defense and space explorations companies around the world. Additionally, it makes vending machines and provides systems for chemical, pharmaceutical and waste water management companies.
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Crane stock has moved more than 5% past an 83 entry in a first-stage consolidation, meaning it's now out of a proper buy zone. Look for the stock to offer a chance to get in like a three-weeks-tight pattern or pullback to the 50-day or 10-week line. After going public in late March, Crane shares fell to an intraday low 67.28 on May 4. It's risen fast from there. In the pre-July 4 holiday shortened trading session Monday, Crane stock fell just over 1% to 88.15.
Earnings Improve, Still Need Work
Last quarter, Crane's earnings edged up 1% to $1.88. That came after a 28% jump in EPS the prior quarter reversed a couple of quarters of diminishing profits on a year-over-year basis last year. Revenue last quarter slid 3% to $842.9 million, improved from a 5% drop the prior quarter.
Crane stock earns the No. 7 rank among its peers in the Diversified Operations industry group. Ireland-based diversified manufacturer Eaton and newly slimmed-down General Electric are among the group's highest-rated stocks.
When looking for the best stocks to buy and watch, one factor to watch closely is relative price strength.
IBD's unique Relative Strength Rating measures share price performance with a 1 (worst) to 99 (best) score. The rating shows how a stock's price behavior over the trailing 52 weeks compares to all the other stocks in our database.
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