Should you consider ENERGY SERVICES OF AMERICA (NASDAQ:ESOA) for growth investing?

In this article we will dive into ENERGY SERVICES OF AMERICA (NASDAQ:ESOA) as a possible candidate for growth investing. Investors should always do their own research, but we noticed ENERGY SERVICES OF AMERICA showing up in our CANSLIM growth screen, which makes it worth to investigate a bit more.

What matters for canslim investors.

• The earnings per share (EPS) of ENERGY SERVICES OF AMERICA have shown positive growth on a quarter-to-quarter (Q2Q) basis, with a 36.36% increase. This reflects the company's ability to improve its profitability over time.
• ENERGY SERVICES OF AMERICA has achieved significant quarter-to-quarter (Q2Q) revenue growth of 32.52%, 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.
• ENERGY SERVICES OF AMERICA has experienced 54.66% growth in EPS over a 3-year period, demonstrating its ability to generate sustained and positive earnings momentum.
• With a favorable Return on Equity (ROE) of 29.15%, ENERGY SERVICES OF AMERICA demonstrates its ability to deliver attractive returns for shareholders. This metric highlights the company's effective management of assets and its profitability.
• ENERGY SERVICES OF AMERICA has maintained a healthy Relative Strength (RS) over the analyzed period, with a current 98.12 rating. This demonstrates the stock's ability to outperform its peers and indicates its competitive positioning. ENERGY SERVICES OF AMERICA is well-positioned for potential price growth opportunities.
• ENERGY SERVICES OF AMERICA maintains a healthy Debt-to-Equity ratio of 1.12. This indicates the company's conservative capital structure and signifies its ability to effectively manage debt obligations while maintaining a strong equity position.
• ENERGY SERVICES OF AMERICA exhibits a favorable ownership structure, with an institutional shareholder ownership of 27.39%. This signifies a diverse investor base, which can contribute to a more stable and efficient market for the stock.

Technical Analysis Observations

ChartMill assigns a proprietary Technical Rating to each stock. The score is computed daily by evaluating various technical indicators and properties. The score ranges from 0 to 10.

We assign a technical rating of 6 out of 10 to ESOA. Although ESOA is scoring some points because its good overall performance in the market in the past year, recent evolutions are not that positive. Both the medium and short term picture give negative signs.

• When comparing the yearly performance of all stocks, we notice that ESOA is one of the better performing stocks in the market, outperforming 98% of all stocks. On top of that, ESOA also shows a nice and consistent pattern of rising prices.
• ESOA is one of the better performing stocks in the Energy Equipment & Services industry, it outperforms 98% of 65 stocks in the same industry.
• Both the short term and long term trends are neutral. So this is not the most entertaining stock around.
• ESOA is currently trading in the middle of its 52 week range. The S&P500 Index however is currently trading near new highs, so ESOA is lagging the market.
• In the last month ESOA has a been trading in the 5.70 - 8.47 range, which is quite wide. It is currently trading in the middle of this range, so some resistance may be found above.

Our latest full technical report of ESOA contains the most current technical analsysis.

What else is there to say on the fundamentals of NASDAQ:ESOA?

Every day, ChartMill assigns a Fundamental Rating to each stock, providing a score ranging from 0 to 10. This rating is determined by evaluating various fundamental indicators and properties.

We assign a fundamental rating of 5 out of 10 to ESOA. ESOA was compared to 65 industry peers in the Energy Equipment & Services industry. There are concerns on the financial health of ESOA while its profitability can be described as average. ESOA is not overvalued while it is showing excellent growth. This is an interesting combination.

For an up to date full fundamental analysis you can check the fundamental report of ESOA

More ideas for growth investing can be found on ChartMill in our CANSLIM 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.