Wednesday's IBD 50 Stocks To Watch pick, biotech leader Procept BioRobotics, surged out of buy range Wednesday past its latest entry. That makes Procept stock one of the best stocks to watch right now.
Procept BioRobotics is a surgical robotics company focused on advancing patient care by developing transformative solutions in urology.
The San Jose, Calif.-based company develops, manufactures and sells the AquaBeam Robotic System, an advanced, image-guided, surgical robotic system. It's used in minimally invasive urologic surgery with an initial focus on treating enlarged prostates.
Early Wednesday, the company said its per-share loss narrowed to 51 cents during the company's fiscal first quarter on revenue of $44.5 million. Sales grew 83% vs. the year-ago period. Procept stock soared more than 14%.
"We started 2024 with strong revenue growth exceeding 80% and demonstrated disciplined management of operating expenses throughout the first quarter," Chief Executive Reza Zadno said in the company's earnings press release. "Now firmly in our San Jose facility, we are in a great position to continue leveraging overhead expenses to improve gross margins throughout the year."
Zadno continued, "With an expanded and more tenured commercial team and growing demand for Aquablation therapy, we are confident in hitting our long-term growth targets."
Procept also raised its full-year sales outlook, projecting revenue to be $213.5 million, which represents 57% growth year over year. The firm's previous outlook called for $210 million in sales.
Be sure to read how to adjust to changing market conditions, with IBD's new exposure levels.
Procept Stock Hits Buy Point
Procept stock ended Tuesday in buy range past a 52.32 buy point in a flat base, according to IBD MarketSurge chart analysis. The 5% buy area goes up 54.94. On Wednesday, shares surged out of buy range.
Remember, IBD's equity exposure range remains at 20%-40%, so investors should be more defensive until a follow-through day confirms a new uptrend.
Procept stock has a middling 81 out of a best-possible 99 IBD Composite Rating, according to IBD Stock Checkup, due to a lack of profitability. But the stock's recent price performance makes it one of the best stocks tow watch.
Another big positive is the stock's relative strength line. The RS line is already at new highs during the recent breakout move, a sign that Procept stock is bouncing back despite market weakness. That's an indicator of strong stock market outperformance and investors should take note.
Best Stocks To Watch
Three recent IBD 50 Growth Stocks To Watch picks are among the best stocks to watch.
| Company | Symbol | Buy point | Type of base |
|---|---|---|---|
| Texas Roadhouse | 157.12 | Flat base | |
| Datadog | 138.61 | Flat base | |
| Interactive Brokers | 112.50 | Tight area |
Source: IBD Data As Of April 24, 2024
Follow Scott Lehtonen on X, formerly known as Twitter, at @IBD_SLehtonen for more on the best stocks to buy and watch and the stock market.
