Sequent Scientific stock has cleared a 9-week, 19% [consolidation base] this week. Currently, the stock is trading around just 2% away from its ideal buy price of INR 312. The stock is offering investors an opportunity to get on board at the current price.
The key trend lines, 10 and 40-week moving averages are at a comfortable position. The current trends of both the averages are upward and the 10-week moving average is trending above the 40-week moving average. The current price of the stock is trading around 14.52% away from the 10-week moving average.
In the last twelve months, Sequent Scientific has rallied nearly 193.4% as compared to 53.5% for the Nifty500. It has a Relative Strength Rating of 71. We definitely would like to see improvement in the rating. At this point we are taking a step back and focusing on the RS Line.
The Relative Strength Line of the stock is offering a lot of encouragement to investors. It has been making good progress in the last four weeks. The overall long term trend of the line is also trending upward. If Sequent Scientific can maintain this outperformance, it could make sense as a CANSLIM trade.
Another key part of the jigsaw is institutional sponsorship. Sequent Scientific has an Accumulation/Distribution Rating of 'B+'. This represents heavy institutional buying over the past 13 weeks. The number of institutional sponsors and shares held by the sponsors, both increased in the last reported quarter.
On the earnings front, Sequent Scientific has an excellent EPS Rank of 92, which indicates consistency in earnings. The earnings and sales for the stock have grown by 168% and 13%, respectively over the past three years. Its 3-years earnings stability is 53, on a 0 to 99 scale (lower the better). Over the past five years, the earnings and sales for the stock have grown by 168% and 18%, respectively. The 5-years earnings stability is 53. The return on equity for the last reported year is 10%.
The stock belongs to the industry group of Medical-Diversified. You would still want to see some improvement in the industry group rank for the group. The current industry group rank is 92. The current price of Sequent Scientific is -2% off from its 52-week high price and 261% above its 52-week low price.