Screening for stocks that combine Mark Minervini's Trend Template with a high-growth momentum filter is a way for investors to zero in on names that are not only trending higher but also delivering accelerating fundamentals. BIOCRYST PHARMACEUTICALS INC (NASDAQ:BCRX) is a biopharmaceutical company that currently clears both hurdles, making it a candidate worth a closer look from growth-oriented traders.
A dual screen for growth and trend
The strategy behind this screen is straightforward: first confirm that a stock is in a strong, established uptrend using the technical rules popularized by Mark Minervini, then check that the underlying business is growing at an above-average pace. Combining these two lenses helps investors avoid the trap of buying a weak company with a pretty chart, or a strong company whose stock is still in a downtrend.
BioCryst Pharmaceuticals passes the technical gate with room to spare. The stock is trading above every key moving average, the moving averages are aligned in bullish order, and relative strength is above the threshold that Minervini considers important.
Trend template checkpoints
Using the data from the technical report, BCRX satisfies the main conditions of the Trend Template:
- Current price of $9.66 is above the 150-day SMA of $8.79 and the 200-day SMA of $8.42.
- The 50-day SMA of $9.57 is above both the 150-day and 200-day averages.
- The 150-day SMA is above the 200-day SMA, and all four key moving averages are rising.
- The stock trades roughly 61% above its 52-week low of $6.00 and sits about 14% below its 52-week high of $11.22, keeping it within the 25% window of the high.
- Relative strength stands at 76.5, comfortably above the 70 minimum Minervini uses to identify leading stocks.
These conditions are important because they describe a stock that is being accumulated by institutional buyers, with each pullback finding support at higher levels. The proximity to the 52-week high also suggests that the stock is not simply bouncing from a depressed level; it is building on real demand.
High-growth momentum in the numbers
The fundamental side of the screen is just as important. BCRX shows the kind of accelerating earnings and revenue growth that Minervini looks for before a stock makes its biggest moves.
- EPS growth over the trailing twelve months is 275%, with the most recent quarter up 650% year over year.
- Revenue growth over the trailing twelve months is 68.7%, and the latest quarter grew 33.6% year over year.
- Full-year revenue growth came in at 94.1% in the most recent fiscal year.
- The latest quarterly profit margin is nearly 36%.
- Free cash flow per share is $1.53, with free cash flow growth above 550%.
These are the types of numbers that attract attention from large institutional investors. When a company consistently beats revenue estimates, as BCRX has done in three of the last four quarters, it often signals that the market is still underestimating the growth trajectory.
What the technical report says
The ChartMill technical report assigns BCRX a rating of 7 out of 10, with a setup rating of 6. The long-term trend is positive, while the short-term trend is neutral, and the report notes that the stock has been consolidating recently with reduced volatility. The setup summary points to a resistance zone starting around $10.39, with a suggested entry just above that level and a stop loss below a support zone near $9.28. For a more detailed view of the chart structure and support/resistance levels, investors can review the technical analysis report.
Risks to consider
No screen removes the need for risk management. The technical setup suggests a stop loss about 6.4% below the entry, which is relatively tight given the stock's average daily range. In addition, while the historical growth figures are strong, forward-looking earnings estimates have seen some negative revisions, meaning the momentum could stall if analysts continue to cut forecasts. Growth strategies depend on the story staying intact, so anyone considering BCRX should monitor both the price action and the estimate revisions.
Finding more candidates
For investors who want to run the same combination of filters themselves, the ChartMill stock screener offers a practical starting point. More stocks that fit the Trend Template plus high-growth momentum methodology can be found through this screen.
Disclaimer: This article is for informational and educational purposes only and does not constitute financial advice or a recommendation to buy or sell any security. Always conduct your own research and consider your risk tolerance before making investment decisions.
Read full article here »
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BioCryst Pharmaceuticals (NASDAQ:BCRX) Passes Minervini Trend Template and High-Growth Momentum Screen
Screening for stocks that combine Mark Minervini's Trend Template with a high-growth momentum filter is a way for investors to zero in on names that are not only trending higher but also delivering accelerating fundamentals. BIOCRYST PHARMACEUTICALS INC (NASDAQ:BCRX) is a biopharmaceutical company that currently clears both hurdles, making it a candidate worth a closer look from growth-oriented traders.
A dual screen for growth and trend
The strategy behind this screen is straightforward: first confirm that a stock is in a strong, established uptrend using the technical rules popularized by Mark Minervini, then check that the underlying business is growing at an above-average pace. Combining these two lenses helps investors avoid the trap of buying a weak company with a pretty chart, or a strong company whose stock is still in a downtrend.
BioCryst Pharmaceuticals passes the technical gate with room to spare. The stock is trading above every key moving average, the moving averages are aligned in bullish order, and relative strength is above the threshold that Minervini considers important.
Trend template checkpoints
Using the data from the technical report, BCRX satisfies the main conditions of the Trend Template:
These conditions are important because they describe a stock that is being accumulated by institutional buyers, with each pullback finding support at higher levels. The proximity to the 52-week high also suggests that the stock is not simply bouncing from a depressed level; it is building on real demand.
High-growth momentum in the numbers
The fundamental side of the screen is just as important. BCRX shows the kind of accelerating earnings and revenue growth that Minervini looks for before a stock makes its biggest moves.
These are the types of numbers that attract attention from large institutional investors. When a company consistently beats revenue estimates, as BCRX has done in three of the last four quarters, it often signals that the market is still underestimating the growth trajectory.
What the technical report says
The ChartMill technical report assigns BCRX a rating of 7 out of 10, with a setup rating of 6. The long-term trend is positive, while the short-term trend is neutral, and the report notes that the stock has been consolidating recently with reduced volatility. The setup summary points to a resistance zone starting around $10.39, with a suggested entry just above that level and a stop loss below a support zone near $9.28. For a more detailed view of the chart structure and support/resistance levels, investors can review the technical analysis report.
Risks to consider
No screen removes the need for risk management. The technical setup suggests a stop loss about 6.4% below the entry, which is relatively tight given the stock's average daily range. In addition, while the historical growth figures are strong, forward-looking earnings estimates have seen some negative revisions, meaning the momentum could stall if analysts continue to cut forecasts. Growth strategies depend on the story staying intact, so anyone considering BCRX should monitor both the price action and the estimate revisions.
Finding more candidates
For investors who want to run the same combination of filters themselves, the ChartMill stock screener offers a practical starting point. More stocks that fit the Trend Template plus high-growth momentum methodology can be found through this screen.
Disclaimer: This article is for informational and educational purposes only and does not constitute financial advice or a recommendation to buy or sell any security. Always conduct your own research and consider your risk tolerance before making investment decisions.
Read full article here »