On Monday, SolarWinds got an upgrade to its Relative Strength (RS) Rating, from 81 to 93.
IBD's proprietary rating tracks share price action with a 1 (worst) to 99 (best) score. The grade shows how a stock's price movement over the trailing 52 weeks stacks up against all the other stocks in our database.
Over 100 years of market history reveals that the stocks that go on to make the biggest gains tend to have an 80 or higher RS Rating in the early stages of their moves.
How To Use Stock Charts To Stay Profitable And Protected
SolarWinds is now considered extended and out of buy range after clearing a 14.94 buy point in a first-stage flat base. See if the stock forms a new pattern or follow-on buying opportunity like a three-weeks tight or pullback to the 50-day or 10-week line.
Earnings growth fell in the company's most recent report from 24% to 17%, but the top line rose from 4% to 6%. Keep an eye out for the company's next round of numbers on or around Feb. 11.
SolarWinds holds the No. 23 rank among its peers in the Computer Software-Enterprise industry group. Enfusion, Samsara and Klaviyo are among the top 5 highly rated stocks within the group.
RELATED:
IBD Stock Rating Upgrades: Rising Relative Strength
Why Should You Use IBD's Relative Strength Rating?
How Relative Strength Line Can Help You Judge A Stock
Ready To Grow Your Investing Skills? Join An IBD Meetup Group!
