American Water Works saw a positive improvement to its Relative Strength (RS) Rating on Friday, rising from 89 to 92.
This exclusive rating from Investor's Business Daily measures market leadership with a 1 (worst) to 99 (best) score. The score shows how a stock's price movement over the trailing 52 weeks holds up against all the other stocks in our database.
Over 100 years of market history reveals that the best-performing stocks often have an RS Rating of above 80 in the early stages of their moves.
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American Water Works broke out earlier, but is now trading approximately 4% below the prior 150.68 entry from a cup without handle. If a stock you're tracking clears a buy point then declines 7% or more below the original entry price, it's considered a failed base. Wait for the stock to set up and breakout from a new base and entry price. Also keep in mind that the most recent pattern is a later-stage base, which makes it riskier to establish a new position or add shares to an existing one.
In terms of fundamentals, the company has posted rising EPS growth in each of the last two reports. Revenue gains have also increased during the same period. The company is expected to report its next quarterly numbers on or around Apr. 30.
The company earns the No. 3 rank among its peers in the Utility-Water Supply industry group. Middlesex Water is the top-ranked stock 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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