Corning Inc. (NYSE:GLW) has been selected by a screening process that combines two strong frameworks for identifying potential market leaders: the Mark Minervini Trend Template and a focus on High Growth Momentum (HGM). The Trend Template is a strict set of technical criteria designed by the legendary trader Mark Minervini to pinpoint stocks in strong, sustainable uptrends. By layering this with a minimum HGM rating of 4, the screen ensures that candidates not only have the technical backbone of a rising trend but also the fundamental earnings and sales acceleration that historically drives outsized returns. This dual approach aims to find stocks that are both technically strong and fundamentally accelerating, a combination often seen in stocks before their largest price moves.
Technical Strength: Meeting the Trend Template
A closer look at Corning’s technical data reveals that it not only meets but performs well on the core requirements of the Minervini Trend Template. This rigorous checklist is designed to filter out weak or sideways stocks and focus only on those in a confirmed stage-2 uptrend.
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Moving Average Alignment: The current price of $255.69 is well above the 200-day, 150-day, and 50-day simple moving averages (SMA), a primary condition. Critically, the 50-day SMA ($185.02) is above the 150-day SMA ($138.72), which in turn is above the 200-day SMA ($125.00). This perfect bullish alignment confirms that momentum is accelerating across all key timeframes. Furthermore, both the 150-day and 200-day SMAs are trending upwards, supporting the long-term trend's strength.
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Price Position: The stock is currently making a new 52-week high of $258.80. It sits within 1.2% of this high, easily clearing the template’s requirement of being within 25% of its high. Conversely, the current price is a staggering 398% above its 52-week low of $51.32, far exceeding the 30% minimum. This shows the stock has built massive momentum from its lows and is now pushing into new high ground, a classic sign of leadership.
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Relative Strength: The ChartMill Relative Strength (CRS) score is an exceptional 98.8. This means Corning is currently outperforming nearly 99% of all stocks in the market over a relevant lookback period. This aligns perfectly with Minervini's emphasis on only selecting stocks with a RS score above 70, and ideally in the 80s or 90s.
This perfect technical setup is the foundation of the strategy. The Trend Template helps traders avoid "value traps" that are cheap for a reason and instead focus on stocks where institutional demand is clearly present and the trend is your friend.
Fundamental Firepower: The High Growth Component
Technical strength is only half of the equation. The High Growth Momentum screen looks for companies with accelerating earnings and sales, the fundamental catalysts that drive sustained institutional buying. Corning’s numbers in this regard are strong and align directly with Minervini's 'SEPA' (Specific Entry Point Analysis) principles, which demand strong fundamentals as a prerequisite for explosive price moves.
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Earnings Acceleration: The earnings per share (EPS) story is one of powerful acceleration. The EPS growth over the last trailing twelve months (TTM) is 26.9%. More importantly, the rate of growth has been accelerating sequentially over the last four quarters (Q-3: 27.7%, Q-2: 24.1%, Q-1: 26.3%, Q0: 29.6%). This sequential acceleration is a key sign of a company gaining momentum. The full-year EPS growth is also strengthening, moving from -18.7% three years ago to 15.3% last year and then to 29.1% in the most recent fiscal year. This consistent improvement is the hallmark of a Minervini-style market leader.
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Revenue Growth and Surprises: Sales growth is the other pillar. Revenue has grown by 20.1% over the last TTM period, and just like earnings, it has shown consistent strength over the last four quarters (ranging from 18.1% to 20.9%). Corning has beaten revenue estimates in each of the last 4 quarters, averaging a 1.3% beat. This consistency in beating expectations is a strong catalyst that attracts the attention of large institutional investors, driving the stock's price higher.
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Profitability and Revisions: The profit margin story adds another layer of conviction. After dipping to 3.9% in FY-1, it more than doubled to 10.2% in the last fiscal year, demonstrating improving operational efficiency. Analyst sentiment is also positive, with next year's EPS estimates being revised upward by 3.1% over the last three months. For Minervini, upward earnings revisions are a crucial sign that the fundamental story is still strengthening.
Click here to view the full technical analysis report for GLW.
Summary of the Technical Report
The ChartMill Technical Report confirms the stock’s superb health with a perfect Technical Rating of 10 out of 10. Both the short-term and long-term trends are positive. The stock is currently outperforming 95% of its peers in the Electronic Equipment, Instruments & Components industry. The current price action is strong, with volume increasing on up days, which is a positive sign of institutional accumulation. However, the report notes a Setup Rating of only 1 out of 10, indicating that the stock is currently extended to the upside. This is a classic situation for a strong stock: a great long-term candidate that is not offering a low-risk entry point right now. A prudent investor would add this stock to their watchlist and wait for a healthy consolidation or pullback before considering a position.
Find Your Own Breakout Candidates
The screen that identified Corning is a useful tool for discovering other stocks meeting the Minervini Trend Template and high-growth criteria. This combination can help you build a watchlist of potential market leaders.
Click here to see the full results of the 'High Growth Momentum + Trend Template' screen and start your own search.
Disclaimer: This article is for informational and educational purposes only and does not constitute investment advice. Trading in stocks involves risk, including the possible loss of principal. Past performance is not indicative of future results. Always conduct your own due diligence.
Read full article here »
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Corning Inc. (NYSE:GLW) Screens as a High-Growth Momentum Leader with Flawless Technical Trend Template Setup
Corning Inc. (NYSE:GLW) has been selected by a screening process that combines two strong frameworks for identifying potential market leaders: the Mark Minervini Trend Template and a focus on High Growth Momentum (HGM). The Trend Template is a strict set of technical criteria designed by the legendary trader Mark Minervini to pinpoint stocks in strong, sustainable uptrends. By layering this with a minimum HGM rating of 4, the screen ensures that candidates not only have the technical backbone of a rising trend but also the fundamental earnings and sales acceleration that historically drives outsized returns. This dual approach aims to find stocks that are both technically strong and fundamentally accelerating, a combination often seen in stocks before their largest price moves.
Technical Strength: Meeting the Trend Template
A closer look at Corning’s technical data reveals that it not only meets but performs well on the core requirements of the Minervini Trend Template. This rigorous checklist is designed to filter out weak or sideways stocks and focus only on those in a confirmed stage-2 uptrend.
Moving Average Alignment: The current price of $255.69 is well above the 200-day, 150-day, and 50-day simple moving averages (SMA), a primary condition. Critically, the 50-day SMA ($185.02) is above the 150-day SMA ($138.72), which in turn is above the 200-day SMA ($125.00). This perfect bullish alignment confirms that momentum is accelerating across all key timeframes. Furthermore, both the 150-day and 200-day SMAs are trending upwards, supporting the long-term trend's strength.
Price Position: The stock is currently making a new 52-week high of $258.80. It sits within 1.2% of this high, easily clearing the template’s requirement of being within 25% of its high. Conversely, the current price is a staggering 398% above its 52-week low of $51.32, far exceeding the 30% minimum. This shows the stock has built massive momentum from its lows and is now pushing into new high ground, a classic sign of leadership.
Relative Strength: The ChartMill Relative Strength (CRS) score is an exceptional 98.8. This means Corning is currently outperforming nearly 99% of all stocks in the market over a relevant lookback period. This aligns perfectly with Minervini's emphasis on only selecting stocks with a RS score above 70, and ideally in the 80s or 90s.
This perfect technical setup is the foundation of the strategy. The Trend Template helps traders avoid "value traps" that are cheap for a reason and instead focus on stocks where institutional demand is clearly present and the trend is your friend.
Fundamental Firepower: The High Growth Component
Technical strength is only half of the equation. The High Growth Momentum screen looks for companies with accelerating earnings and sales, the fundamental catalysts that drive sustained institutional buying. Corning’s numbers in this regard are strong and align directly with Minervini's 'SEPA' (Specific Entry Point Analysis) principles, which demand strong fundamentals as a prerequisite for explosive price moves.
Earnings Acceleration: The earnings per share (EPS) story is one of powerful acceleration. The EPS growth over the last trailing twelve months (TTM) is 26.9%. More importantly, the rate of growth has been accelerating sequentially over the last four quarters (Q-3: 27.7%, Q-2: 24.1%, Q-1: 26.3%, Q0: 29.6%). This sequential acceleration is a key sign of a company gaining momentum. The full-year EPS growth is also strengthening, moving from -18.7% three years ago to 15.3% last year and then to 29.1% in the most recent fiscal year. This consistent improvement is the hallmark of a Minervini-style market leader.
Revenue Growth and Surprises: Sales growth is the other pillar. Revenue has grown by 20.1% over the last TTM period, and just like earnings, it has shown consistent strength over the last four quarters (ranging from 18.1% to 20.9%). Corning has beaten revenue estimates in each of the last 4 quarters, averaging a 1.3% beat. This consistency in beating expectations is a strong catalyst that attracts the attention of large institutional investors, driving the stock's price higher.
Profitability and Revisions: The profit margin story adds another layer of conviction. After dipping to 3.9% in FY-1, it more than doubled to 10.2% in the last fiscal year, demonstrating improving operational efficiency. Analyst sentiment is also positive, with next year's EPS estimates being revised upward by 3.1% over the last three months. For Minervini, upward earnings revisions are a crucial sign that the fundamental story is still strengthening.
Click here to view the full technical analysis report for GLW.
Summary of the Technical Report
The ChartMill Technical Report confirms the stock’s superb health with a perfect Technical Rating of 10 out of 10. Both the short-term and long-term trends are positive. The stock is currently outperforming 95% of its peers in the Electronic Equipment, Instruments & Components industry. The current price action is strong, with volume increasing on up days, which is a positive sign of institutional accumulation. However, the report notes a Setup Rating of only 1 out of 10, indicating that the stock is currently extended to the upside. This is a classic situation for a strong stock: a great long-term candidate that is not offering a low-risk entry point right now. A prudent investor would add this stock to their watchlist and wait for a healthy consolidation or pullback before considering a position.
Find Your Own Breakout Candidates
The screen that identified Corning is a useful tool for discovering other stocks meeting the Minervini Trend Template and high-growth criteria. This combination can help you build a watchlist of potential market leaders.
Click here to see the full results of the 'High Growth Momentum + Trend Template' screen and start your own search.
Disclaimer: This article is for informational and educational purposes only and does not constitute investment advice. Trading in stocks involves risk, including the possible loss of principal. Past performance is not indicative of future results. Always conduct your own due diligence.
Read full article here »