Cencora saw a welcome improvement to its Relative Strength (RS) Rating on Wednesday, rising from 66 to 74.
IBD's proprietary rating measures market leadership with a 1 (worst) to 99 (best) score. The score shows how a stock's price behavior over the last 52 weeks stacks up against all the other stocks in our database.
Over 100 years of market history shows that the best stocks typically have an 80 or higher RS Rating in the early stages of their moves. See if Cencora can continue to rebound and clear that threshold.
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Cencora broke out earlier, but has fallen back below the prior 253.27 entry from a cup without handle. In the case where a stock breaks out then falls 7% or more below the entry price, it's considered a failed breakout. If that happens, it's best to wait for a new base to take shape. Also understand that the most recent pattern is a later-stage base, and such bases are more prone to failure.
Cencora showed 14% earnings growth in its most recent report, while sales growth came in at 13%.
Cencora holds the No. 1 rank among its peers in the Medical-Wholesale Drugs industry group. McKesson and Cardinal Health are also among the group's highest-rated stocks.
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