NASDAQ:HALO, a strong growth stock, setting up for a breakout.

In this article we will dive into HALOZYME THERAPEUTICS INC (NASDAQ:HALO) as a possible candidate for growth investing. Investors should always do their own research, but we noticed HALOZYME THERAPEUTICS INC showing up in our strong growth, ready to breakout screen, which makes it worth to investigate a bit more.

Looking at the Growth

ChartMill assigns a proprietary Growth Rating to each stock. The score is computed by evaluating various growth aspects, like EPS and revenue growth. We take into account the history as well as the estimated future numbers. NASDAQ:HALO was assigned a score of 8 for growth:

• The Earnings Per Share has grown by an nice 12.96% over the past year.
• HALO shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 42.34% yearly.
• HALO shows a strong growth in Revenue. In the last year, the Revenue has grown by 34.42%.
• Measured over the past years, HALO shows a quite strong growth in Revenue. The Revenue has been growing by 15.83% on average per year.
• HALO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 25.42% yearly.
• HALO is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.85% yearly.

What does the Health looks like for NASDAQ:HALO

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. NASDAQ:HALO scores a 7 out of 10:

• An Altman-Z score of 3.35 indicates that HALO is not in any danger for bankruptcy at the moment.
• With a decent Altman-Z score value of 3.35, HALO is doing good in the industry, outperforming 72.30% of the companies in the same industry.
• The Debt to FCF ratio of HALO (4.24) is better than 94.93% of its industry peers.
• HALO has a Current Ratio of 7.63. This indicates that HALO is financially healthy and has no problem in meeting its short term obligations.
• With a decent Current ratio value of 7.63, HALO is doing good in the industry, outperforming 67.06% of the companies in the same industry.
• HALO has a Quick Ratio of 6.51. This indicates that HALO is financially healthy and has no problem in meeting its short term obligations.
• HALO has a better Quick ratio (6.51) than 61.82% of its industry peers.

A Closer Look at Profitability for NASDAQ:HALO

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NASDAQ:HALO has achieved a 8:

• The Return On Assets of HALO (13.41%) is better than 98.48% of its industry peers.
• HALO has a Return On Equity of 101.89%. This is amongst the best in the industry. HALO outperforms 100.00% of its industry peers.
• The Return On Invested Capital of HALO (14.39%) is better than 97.80% of its industry peers.
• Measured over the past 3 years, the Average Return On Invested Capital for HALO is significantly above the industry average of 13.52%.
• The last Return On Invested Capital (14.39%) for HALO is well below the 3 year average (36.78%), which needs to be investigated, but indicates that HALO had better years and this may not be a problem.
• The Profit Margin of HALO (32.53%) is better than 98.48% of its industry peers.
• In the last couple of years the Profit Margin of HALO has grown nicely.
• Looking at the Operating Margin, with a value of 40.35%, HALO belongs to the top of the industry, outperforming 99.16% of the companies in the same industry.
• HALO's Operating Margin has improved in the last couple of years.
• HALO has a Gross Margin of 76.68%. This is amongst the best in the industry. HALO outperforms 85.81% of its industry peers.

How do we evaluate the setup for NASDAQ:HALO?

ChartMill also assign a Setup Rating to every stock. With this score it is determined to what extend the stock has been trading in a range in the recent days and weeks. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. NASDAQ:HALO scores a 9 out of 10:

Although the technical rating is bad, HALO does present a nice setup opportunity. We see reduced volatility while prices have been consolidating in the most recent period. There is a resistance zone just above the current price starting at 36.01. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 34.14, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for HALO in the last couple of days, which is a good sign.

More Strong Growth stocks can be found in our Strong Growth screener.

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

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

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.