Advanced Energy Inds had its Relative Strength (RS) Rating upgraded from 70 to 78 Thursday — a welcome improvement, but still shy of the 80 or better score you look for.
IBD's proprietary RS Rating identifies technical performance by using a 1 (worst) to 99 (best) score that identifies how a stock's price performance over the trailing 52 weeks matched up against all other stocks.
Decades of market research reveals that the stocks that go on to make the biggest gains often have an RS Rating of above 80 in the early stages of their moves. See if Advanced Energy Inds can continue to rebound and clear that threshold.
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Advanced Energy Inds has climbed more than 5% past a 112.12 entry in a first-stage double bottom, meaning it's now out of a proper buy zone. Look for the stock to create a new buying opportunity like a three-weeks tight or pullback to the 50-day or 10-week moving average.
Advanced Energy Inds reported -23% earnings growth in the latest quarterly report. Revenue rose -9%.
The company earns the No. 7 rank among its peers in the Electronics-Semiconductor Equipment industry group. Nova, Onto Innovation and KLA are among the top 5 highly rated stocks within the group.
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