Klaviyo saw its IBD SmartSelect Composite Rating jump to 96 Wednesday, up from 94 the day before.
The new rating is a sign the stock is outpacing 96% of all stocks when it comes to the most important stock-picking criteria. The top-performing stocks tend to have a 95 or better grade as they start a significant move so be sure to keep that in mind when looking for the best stocks to buy and watch.
Klaviyo is currently extended beyond a proper buy zone after breaking out from a 32.81 buy point in a cup with handle.
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One weak spot is the company's 78 EPS Rating, which tracks quarterly and annual earnings-per-share growth. Look for that to improve to 80 or better to show it's in the top 20% of all stocks.
Its Accumulation/Distribution Rating of B shows moderate buying by institutional investors over the last 13 weeks.
In Q3, the company reported 67% earnings-per-share growth. That means it's now posted two straight quarters of rising EPS growth. Sales growth came in at 34%, down from 35% in the previous quarter.
Klaviyo earns the No. 10 rank among its peers in the Computer Software-Enterprise industry group. Palantir Technologies, ServiceNow and Shopify Cl A are among the top 5 highly-rated stocks within the group.
