Is NASDAQ:TW suited for high growth investing?

TRADEWEB MARKETS INC-CLASS A (NASDAQ:TW) 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:TW.

Insights from Technical Analysis

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

Overall TW gets a technical rating of 9 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, TW is showing a nice and steady performance.

• The short term is neutral, but the long term trend is still positive. Not much to worry about for now.
• When comparing the yearly performance of all stocks, we notice that TW is one of the better performing stocks in the market, outperforming 84% of all stocks. On top of that, TW also shows a nice and consistent pattern of rising prices.
• TW is part of the Capital Markets industry. There are 220 other stocks in this industry. TW outperforms 78% of them.
• TW is currently trading in the upper part of its 52 week range. The S&P500 Index is also trading in the upper part of its 52 week range, so TW is performing more or less in line with the market.
• In the last month TW has a been trading in the 125.06 - 141.69 range, which is quite wide. It is currently trading in the middle of this range where prices have been consolidating recently, this may present a good entry opportunity, but some resistance may be present above.

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

How does the Setup look for NASDAQ:TW

ChartMill incorporates a Setup Rating in its analysis, which measures the extent of consolidation in a stock over recent days and weeks. This rating, ranging from 0 to 10, is updated daily and takes into account multiple short-term technical indicators. The current setup rating for NASDAQ:TW is 8:

TW has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately. 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 135.07. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 133.08, a Stop Loss order could be placed below this zone. Very recently a Pocket Pivot signal was observed. This is another positive sign.

What matters for high growth investors.

• TRADEWEB MARKETS INC-CLASS A has demonstrated consistent growth in its earnings per share (EPS) from one quarter to another (Q2Q), with a 36.36% increase. This indicates improving financial performance and the company's effective management of its operations.
• With impressive quarter-to-quarter (Q2Q) revenue growth of 36.72%, TRADEWEB MARKETS INC-CLASS A showcases its ability to generate increased sales and revenue. This growth indicates the company's strong customer demand and its effective business strategies.
• TRADEWEB MARKETS INC-CLASS A has demonstrated strong 1-year revenue growth of 29.45%, reflecting revenue momentum and its ability to generate consistent top-line expansion. This growth underscores the company's strong market position and its potential for future success.
• Analysts' average next Quarter EPS Estimate for TRADEWEB MARKETS INC-CLASS A has witnessed a 7.62% change in the last 3 months, underscoring the dynamic nature of market sentiment towards the company's EPS prospects.
• The quarterly earnings of TRADEWEB MARKETS INC-CLASS A have shown a 36.36% 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
• The earnings per share (EPS) growth of TRADEWEB MARKETS INC-CLASS A are accelerating: the current Q2Q growth of 36.36% is above the previous year Q2Q growth of 22.22%. Earnings momentum and acceleration are key for high growth systems.
• TRADEWEB MARKETS INC-CLASS A has experienced notable growth in its operating margin over the past year, reflecting improved operational performance. This growth suggests the company's ability to generate higher profits from its core business activities.
• With a favorable trend in its free cash flow (FCF) over the past year, TRADEWEB MARKETS INC-CLASS A demonstrates its ability to generate robust cash flows and maintain financial stability. This growth reflects the company's focus on efficient capital allocation and cash management.
• TRADEWEB MARKETS INC-CLASS A 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.
• The Relative Strength (RS) of TRADEWEB MARKETS INC-CLASS A has consistently been strong, with a current 84.58 rating. This indicates the stock's ability to exhibit relative price outperformance and reflects its competitive strength. TRADEWEB MARKETS INC-CLASS A demonstrates promising potential for sustained price momentum.

Our High Growth Momentum Breakout screen will find you more ideas suited for high growth momentum breakouts.

Keep in mind

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.