Top-ranked ag equipment maker AGCO (AGCO) saw a welcome improvement to its Relative Strength (RS) Rating on Tuesday, rising from 68 to 73. Its stock edged down fractionally Tuesday to 127.20, outperforming the overall market, which fell hard.
The 73 RS Rating, on a 1-99 scale with 99 tops, shows that AGCO stock price has performed in the top 27% of all stocks over the past year. Market research shows that top performing stocks often have an 80 or higher RS Rating in the early stages of their moves. See if AGCO can continue to rebound and hit that benchmark.
AGCO Stock Tops In Ag Equipment
AGCO earns the No. 1 rank among its peers in the Machinery-Farm industry group. It makes tractors and self-propelled sprayers and combines. Its stock shot up 349% from 35.33 in the Covid market crash low in late March 2020 to an intraday high 158.62 on April 28 this year. From there it’s consolidated.
Among other key ratings, Duluth, Ga.-based AGCO boasts a near-best 98 EPS Rating, demonstrating strong profit growth recently and long-term. Meanwhile, AGCO stock’s 84 Composite Rating is good but not yet great.
IBD’s Composite Rating combines five separate proprietary ratings of fundamental and technical performance into one easy-to-use rating. The best growth stocks have a Composite Rating of 90 or better.
Regarding fundamentals, AGCO has posted rising EPS growth in each of the last two reports. Top line growth has also moved higher over the same time frame. Last quarter, its EPS jumped 159% to $2.88 on a 43% hike in revenue to $2.88 billion.
AGCO stock is building a consolidation with a 158.72 buy point. See if the stock can break out in volume at least 40% higher than normal.
As you try to find the best stocks to buy and watch, keep a close on eye on relative price strength.
IBD’s proprietary RS Rating identifies market leadership by using a 1 (worst) to 99 (best) score that identifies how a stock’s price action over the trailing 52 weeks stacks up against all the other stocks in our database.
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