The Relative Strength (RS) Rating for CNX Resources climbed into a new percentile Tuesday, with a rise from 79 to 83. The rating upgrade lifts CNX stock into an elite group.
The upgraded 83 RS Rating shows that CNX stock bested 83% of all stocks for price performance over the past year. It's a notable rating hike because market research shows that the best stocks often have an 80 or better RS Rating in the early stages of their moves.
However, the company's fundamentals are lackluster so it's not a strong buy candidate. It's shown improvement and if the energy market gets hot it could turn into a standout. For now though it's one to watch.
Risk Management In The Stock Market: How Much Money To Invest Now
CNX Stock Near Buy Point; Caution Advised Though
Oil and gas exploration and production company CNX Resources is building a flat base with a 26.57 entry. See if the stock can break out in heavy trading.
CNX stock fell hard during the Covid market crash in 2020. It traded as low as 4.26 a share in mid-March that year. Tuesday afternoon CNX stock traded around 25.50, just below the flat base buy point. It was up about 1.6% for the day, and up about 500% from the 2020 low.
Earnings growth for the Canonsburg, Pa.-based company has been erratic though. CNX recorded a 166% spike in earnings for the September 2023 ended quarter. Then its EPS fell 60% in Q4, and then 18% last quarter.
Stock Rising But Fundamentals Lagging
The revenue picture is similar. It posted gains of 100% and 199% in early and mid-2023, then saw revenue fall 41% and 70% on a year-over-year basis the two most recent quarters.
The company is expected to report its latest numbers on or around July 25. The Street consensus is for the bloodletting to continue with an 11% drop in EPS to 28 cents per share on a 55% decline in revenue to $376.6 million.
CNX stock holds the No. 7 rank among its peers in the 52-stock Oil&Gas-U.S. Exploration & Production industry group. Viper Energy, Diamondback Energy and LandBridge are among the top five highly rated stocks in the group.
IBD's unique RS Rating tracks market leadership by showing how a stock's price movement over the last 52 weeks compares to that of the other stocks in our database.
RELATED:
Get Full Access To IBD Stock Lists And Ratings
Why Should You Use IBD's Relative Strength Rating?
How Relative Strength Line Can Help You Judge A Stock
Ready To Grow Your Investing Skills? Join An IBD Meetup Group!
Looking For Market Insights? Check Out Our IBD Live Daily Segment
