One important metric to look for in a stock is an 80 or higher Relative Strength Rating. Sleep Number stock cleared that benchmark Thursday, with a jump from 80 to 89 Thursday.
When looking for the best stocks to buy and watch, one factor to watch closely is relative price strength.
This unique rating tracks market leadership by showing how a stock's price movement over the last 52 weeks measures up against that of other stocks on the major indexes.
Over 100 years of market history reveals that the market's biggest winners tend to have an RS Rating north of 80 in the early stages of their moves.
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Is Sleep Number Stock A Buy?
Sleep Number stock has rallied almost 100% off its 52-week low in June, thus the stock is extended. Now is not an ideal time to jump in since it isn't near a proper buy zone, but see if the home furnishing retail stock is able to establish and enter a buying range in heavy volume.
Earnings growth increased last quarter from 0% to 467%. But sales fell from 1% to 0%. The next quarterly results are expected on or around Jul. 27.
Sleep Number stock holds the No. 8 rank among its peers in the Retail-Home Furnishings industry group. Ethan Allen and Haverty Furniture are also among the group's highest-rated stocks.
