Health sells, whether it’s fitness equipment or nutritious foods, especially in the stay-at-home era. On Friday, the Relative Strength (RS) Rating for Simply Good Foods (SMPL) climbed to 71, up from 68.
A 71 Relative Strength Rating means that Denver-based healthy food and snacks seller Simply Good Foods has outperformed 71% of all stocks over the past year.
Stock market winners typically have an RS Rating above 80 as they launch their largest climbs. See if Simply Good Foods can continue to show renewed price strength and hit that benchmark.
Now For The Rest Of Simply Good Foods Story
But that’s just part of the story. The parent of Atkins brand low-carb diet foods and Quest Nutrition snack bars, shakes, cookies and other goodies boasts a 94 EPS Rating, of a best-possible 99. That 94 rating reflects strong profit growth recently and over the long term.
The company has a B Accumulation/Distribution Rating, on an A+ to E scale. That means institutional investors are moderately buying its stock.
In terms of fundamentals, Simply Good Foods on Jan. 6 reported 32% earnings growth in its fiscal Q1 to 29 cents per share. That followed gains of 28%, 30% and 33% the prior three periods. Sales in its most recent quarter jumped 52% to $231.2 million. Over the covid-struck past 12 months, Simply Good Foods has reported double-digit earnings and revenue gains every quarter.
In the Jan. 6 earnings news release, CEO Joseph Scalzo said “We delivered another quarter of sequential improvement in both net sales and earnings driven primarily by strong e-commerce growth.” Other factors Scalzo cited: retail takeaway that exceeded expectations and the timing of shipments related to the seasonal inventory build by certain retailers.
The company earns the No. 1 rank among its peers in the Food-Confectionery industry group.
Looking For Winning Stocks? Try This Simple Routine
Simply Good Foods is building a consolidation with a 32.13 buy point. See if the stock can break out in volume at least 40% above average.
When looking for the best stocks to buy and watch, one factor to watch closely is relative price strength.
This exclusive rating from Investor’s Business Daily tracks price action with a 1 (worst) to 99 (best) score. The rating shows how a stock’s price movement over the last 52 weeks holds up against all the other stocks in our database.
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