In a welcome move, Fox Factory shares popped 6% Monday afternoon before moderating in afternoon trading. High-performance bicycle suspension maker Fox Factory rose nearly 4% Friday following a strong earnings report on Thursday. With the pandemic in the rearview mirror and warm weather here, more people are engaging in sports including bike riding. Also on Monday, the Relative Strength Rating for Fox Factory stock jumped 10 points, from 62 last week to 72 on Monday.
Fox Factory Stock Closing On Rating Benchmark
The upgraded 72 RS Rating puts Duluth, Ga.-based Fox Factory stock among the top 28% of stocks for price performance this past year. Research shows that the best-performing stocks typically have an 80 or higher RS Rating as they launch their biggest price moves. See if Fox Factory can continue to rebound and hit that benchmark.
Last quarter Fox Factory reported $1.21 EPS, down from $1.38 a year earlier but above Wall Street forecasts. Sales edged down 1% to $400.7 million. CEO Mike Dennison commented in the earnings release that, "Strong sales growth in PVG (Powered Vehicles Group) and AAG (Aftermarket Applications Group) coupled with continued efficiency gains in our North American facilities enabled us to deliver on net sales and to exceed our expectations on adjusted EBITDA and adjusted EBITDA Margin."
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Working On A Consolidation Pattern
Fox Factory stock is trying to complete a consolidation with a 127.54 buy point. It began the pattern in mid-February and fell to an 87.51 low on May 31. It's climbed from there and was trading at about 114.59 Monday afternoon, up more than 3.5% for the day. See if it can break out in volume at least 40% higher than normal.
Fox Factory stock earns the No. 5 rank among its peers in the Leisure-Products industry group. Polaris and BRP are also among the group's highest-rated stocks.
When looking for the best stocks to buy and watch, keep a close on eye on relative price strength.
This unique rating tracks technical performance by using a 1 (worst) to 99 (best) score that indicates how a stock's price action over the trailing 52 weeks compares to the rest of the market.
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