Why NASDAQ:CALM qualifies as a high growth stock.

CAL-MAINE FOODS INC (NASDAQ:CALM) was identified as a Technical Breakout Setup Pattern by our stockscreener. Such a pattern occurs when we see a pause in a strong uptrend: after a strong rise the stock is consolidating a bit and at some point the trend may be continued. Whether this actually happens can not be predicted of course, but it may be a good idea to keep and eye on NASDAQ:CALM.

Insights from Technical Analysis

ChartMill assigns a Technical Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple technical indicators and properties.

Overall CALM gets a technical rating of 10 out of 10. This is due to a consistent performance in both the short and longer term time frames. Also compared to the overall market, CALM is showing a nice and steady performance.

• Both the short term and long term trends are positive. This is a very positive sign.
• Looking at the yearly performance, CALM did better than 94% of all other stocks. We also observe that the gains produced by CALM over the past year are nicely spread over this period.
• CALM is one of the better performing stocks in the Food Products industry, it outperforms 92% of 91 stocks in the same industry.
• CALM is currently trading near its 52 week high, which is a good sign. The S&P500 Index however is also trading near new highs, which makes the performance in line with the market.
• In the last month CALM has a been trading in the 98.71 - 116.41 range, which is quite wide. It is currently trading near the high of this range.

For an up to date full technical analysis you can check the technical report of CALM

Why is NASDAQ:CALM a setup?

Besides the Technical Rating, ChartMill also assign a Setup Rating to every stock. This setup score also ranges from 0 to 10 and determines to which extend the stock is consolidating. This is achieved by evaluating multiple short term technical indicators. NASDAQ:CALM currently has a 7 as setup rating:

Besides having an excellent technical rating, CALM also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. A pullback is taking place, which may present a nice opportunity for an entry. There is a resistance zone just above the current price starting at 112.24. Right above this resistance zone may be a good entry point.

Looking into the high growth metrics of CAL-MAINE FOODS INC

• The earnings per share (EPS) of CAL-MAINE FOODS INC have shown positive growth on a quarter-to-quarter (Q2Q) basis, with a 1.0K% increase. This reflects the company's ability to improve its profitability over time.
• CAL-MAINE FOODS INC has achieved significant quarter-to-quarter (Q2Q) revenue growth of 82.46%, signaling its ability to capture market opportunities and drive top-line expansion. This growth underscores the company's effective execution and its potential for continued success.
• The EPS of CAL-MAINE FOODS INC has shown consistent growth over a 3-year period, indicating the company's ability to generate increasing earnings over time.
• The average next Quarter EPS Estimate for CAL-MAINE FOODS INC has experienced a 40.51% change in the last 3 months, reflecting evolving expectations by analysts regarding the company's EPS performance.
• The quarterly earnings of CAL-MAINE FOODS INC have shown a 1.0K% increase compared to the previous quarter, as revealed in the recent financial report. This growth signifies positive momentum in the company's financials, pointing towards a promising upward trend
• accelerating EPS growth for CAL-MAINE FOODS INC: the current Q2Q growth of 1.0K% exceeds the previous year Q2Q growth of -91.4%.
• CAL-MAINE FOODS INC has shown positive growth in its operating margin over the past year, indicating improved operational efficiency. This growth highlights the company's ability to effectively manage costs and maximize profitability.
• The free cash flow (FCF) of CAL-MAINE FOODS INC has seen steady growth over the past year, indicating enhanced cash flow generation and financial health. This trend underscores the company's effective capital management and its ability to generate sustainable cash flows.
• In terms of Return on Equity(ROE), CAL-MAINE FOODS INC is performing well, achieving a 30.75% ratio. This highlights the company's effective allocation of shareholder investments and signifies its commitment to maximizing returns.
• CAL-MAINE FOODS INC exhibits a favorable Debt-to-Equity ratio at 0.0. This highlights the company's ability to limit excessive debt levels and maintain a strong equity base, demonstrating its financial stability and risk management practices.
• CAL-MAINE FOODS INC has surpassed EPS estimates 3 times in the last 4 quarters, reflecting its strong financial performance and effective management. This trend suggests the company's ability to generate positive earnings surprises and drive shareholder value.
• The Relative Strength (RS) of CAL-MAINE FOODS INC has been consistently solid, with a current 94.11 rating. This highlights the stock's ability to exhibit sustained price strength and signifies its competitive advantage. CAL-MAINE FOODS INC exhibits strong prospects for further price appreciation.

More ideas for high growth momentum breakouts can be found on ChartMill in our High Growth Momentum Breakout screen.

Disclaimer

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.