One important metric to look for in a stock is an 80 or higher Relative Strength Rating. TXNM Energy just hit that mark, with a jump from 78 to 81 Tuesday.
IBD's unique RS Rating measures market leadership by showing how a stock's price action over the last 52 weeks compares to that of other stocks on the major indexes.
Over 100 years of market history shows that the best stocks typically have an RS Rating of at least 80 in the early stages of their moves.
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TXNM Energy has risen more than 5% past a 42.31 entry in a first-stage flat base, meaning it's now out of a proper buy zone. Look for the stock to offer a new chance to pick up shares like a three-weeks tight or pullback to the 50-day or 10-week line.
While earnings-per-share growth fell in the company's most recent quarterly report from 9% to -7%, sales grew 13%, up from 2% in the previous report.
TXNM Energy earns the No. 8 rank among its peers in the Utility-Electric Power industry group. Pampa Energia ADR, Vistra and Talen Energy are among the top 5 highly rated stocks within the group.
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