On Tuesday, Monster Beverage earned a positive adjustment to its Relative Strength (RS) Rating, from 74 to 81.
IBD's unique RS Rating identifies market leadership by showing how a stock's price action over the last 52 weeks compares to that of the other stocks in our database.
Decades of market research reveals that the stocks that go on to make the biggest gains typically have an RS Rating of at least 80 as they launch their biggest climbs.
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Monster Beverage broke out earlier, but is now trading about 3% below the prior 56.70 entry from a cup without handle. If a stock you're tracking climbs above a buy point then retreats 7% or more below the original entry price, it's considered a failed base. It's best to wait for the stock to form a new base and breakout. Also keep in mind that the latest consolidation is a later-stage base, and those involve more risk.
Top and bottom line growth moved higher last quarter. Earnings were up 0%, compared to -2% in the prior report. Revenue increased from 1% to 5%.
Monster Beverage earns the No. 5 rank among its peers in the Beverages-Non-Alcoholic industry group. Primo Brands is the No. 1-ranked stock within the group.
This article was created automatically with Stats Perform's Wordsmith software using data and article templates supplied by Investor's Business Daily. An IBD journalist may have edited the article.
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