One important metric to look for in a stock is an 80 or higher Relative Strength Rating. Leonardo DRS now clears that threshold, with a jump from 80 to 84 Monday.
IBD's unique RS Rating tracks technical performance by showing how a stock's price action over the last 52 weeks compares to that of other stocks on the major indexes.
Decades of market research reveals that the top-performing stocks tend to have an RS Rating north of 80 in the early stages of their moves.
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Leonardo DRS is building a consolidation with a 37.99 buy point. See if it can clear the breakout price in volume at least 40% higher than normal. Note that it's a fourth-stage base. Such patterns do sometimes lead to significant gains, but they're more likely to fail than first- or second-stage consolidations.
Earnings growth rose last quarter from 20% to 23%. But sales fell from 16% to 6%.
The company earns the No. 17 rank among its peers in the Aerospace/Defense industry group. Embraer ADR, Heico and Heico Cl A 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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