On Monday, WK Kellogg hit an important technical milestone, with its Relative Strength (RS) Rating rising into the 80-plus percentile with an upgrade to 85, an increase from 78 the day before.
This proprietary rating tracks technical performance by using a 1 (worst) to 99 (best) score that indicates how a stock's price action over the last 52 weeks matches up against the rest of the market.
Over 100 years of market history shows that the top-performing stocks typically have an RS Rating north of 80 in the early stages of their moves.
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WK Kellogg has risen more than 5% past a 14.22 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 buying opportunity like a three-weeks tight or pullback to the 50-day or 10-week moving average.
Earnings growth rose in the company's most recent report from -6% to 45%, but the top line fell from 0% to -2%.
WK Kellogg earns the No. 8 rank among its peers in the Food-Packaged industry group. Nomad Foods, Seneca Foods Cl A and Kellanova are among the top 5 highly rated stocks 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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