Should you consider NASDAQ:TW for high growth investing?

Our stockscreener has identified a possible breakout setup on TRADEWEB MARKETS INC-CLASS A (NASDAQ:TW). This occurs when the stock consolidates following a significant upward movement. While the breakout outcome cannot be guaranteed, it may be worth monitoring NASDAQ:TW for potential opportunities.

In-Depth Technical Analysis of NASDAQ:TW

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

Overall TW gets a technical rating of 10 out of 10. Both in the recent history as in the last year, TW has proven to be a steady performer, scoring decent points in every aspect analyzed.

• Both the short term and long term trends are positive. This is a very positive sign.
• When comparing the yearly performance of all stocks, we notice that TW is one of the better performing stocks in the market, outperforming 89% of all stocks. We also observe that the gains produced by TW over the past year are nicely spread over this period.
• TW is one of the better performing stocks in the Capital Markets industry, it outperforms 84% of 219 stocks in the same industry.
• TW 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.
• TW is currently showing a bull flag pattern! A bull flag pattern occurs when prices pull back slightly after a strong rise up. This may be a nice opportunity for an entry.

Check the latest full technical report of TW for a complete technical analysis.

How do we evaluate the setup for NASDAQ:TW?

Besides the Technical Rating, ChartMill assigns a Setup Rating to every stock to determine the degree of consolidation. This rating, ranging from 0 to 10, is updated daily and evaluates various short-term technical indicators. NASDAQ:TW currently holds a 7 as its setup rating, suggesting a particular level of consolidation in the stock.

TW has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately and the volatility has been reduced. 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 133.45. Right above this resistance zone may be a good entry point. Another positive sign is the recent Pocket Pivot signal.

Some of the high growth metrics of NASDAQ:TW highlighted

• The EPS of TRADEWEB MARKETS INC-CLASS A has exhibited growth from one quarter to another (Q2Q), with a 34.62% increase. This underscores the company's ability to generate higher earnings and improve its financial standing.
• TRADEWEB MARKETS INC-CLASS A has experienced 30.37% q2q revenue growth, indicating a significant sales increase.
• The 1-year revenue growth of TRADEWEB MARKETS INC-CLASS A (23.95%) has been strong, reflecting the company's ability to generate consistent sales growth. This growth suggests the company's ability to meet customer needs and expand its market share.
• In the most recent financial report, TRADEWEB MARKETS INC-CLASS A reported a 34.62% increase in quarterly earnings compared to the previous quarter. This notable growth indicates positive momentum in the company's financials, suggesting an upward trend
• accelerating EPS growth for TRADEWEB MARKETS INC-CLASS A: the current Q2Q growth of 34.62% exceeds the previous year Q2Q growth of 10.64%.
• The operating margin of TRADEWEB MARKETS INC-CLASS A has seen steady growth over the past year, signaling improved profitability. This trend indicates the company's effective cost management and its ability to generate higher returns.
• TRADEWEB MARKETS INC-CLASS A has shown positive growth in its free cash flow (FCF) over the past year, indicating improved cash generation and financial strength. This growth highlights the company's ability to effectively manage its cash flows and generate surplus funds.
• TRADEWEB MARKETS INC-CLASS A maintains a healthy Debt-to-Equity ratio of 0.0. This indicates the company's conservative capital structure and signifies its ability to effectively manage debt obligations while maintaining a strong equity position.
• TRADEWEB MARKETS INC-CLASS A demonstrates a balanced ownership structure, with institutional shareholders at 54.68%. This indicates a diverse investor base, which can contribute to price stability and potential future growth.
• TRADEWEB MARKETS INC-CLASS A has achieved an impressive Relative Strength (RS) rating of 89.13, showcasing its ability to outperform the broader market. This strong performance positions TRADEWEB MARKETS INC-CLASS A as an attractive stock for potential price appreciation.

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

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.