ADMA BIOLOGICS INC (NASDAQ:ADMA) – A Strong Growth Stock with Technical Breakout Potential

ADMA BIOLOGICS INC (NASDAQ:ADMA) was identified by our screener as a strong growth stock with a favorable technical setup. The company combines solid fundamental growth metrics with a promising chart pattern, making it a candidate worth further examination.

Growth Fundamentals

ADMA Biologics operates in the biotechnology sector, specializing in plasma-derived therapies. The company’s fundamentals reflect strong growth potential:

• Revenue Growth: Over the past year, revenue increased by 62.23%, with a five-year annualized growth rate of 70.84%.
• Earnings Expansion: EPS surged by 2750% in the last year, and future EPS growth is projected at 31.81% annually.
• Profitability: ADMA maintains healthy margins, with a 45.01% profit margin and 33.10% operating margin, outperforming most industry peers.

The company’s financial health is also sound, with a high solvency score and manageable debt levels.

Technical Setup

The stock’s technical analysis suggests a consolidation phase with potential for an upward breakout:

• Support Levels: Multiple support zones exist between $19.20 and $20.12, providing a cushion against downside risk.
• Resistance Breakout: A key resistance level sits near $20.62. A decisive move above this could signal further upside.
• Trend Strength: The long-term trend remains positive, while short-term price action has been consolidating, often a precursor to continuation.

ADMA’s relative strength is notable, outperforming 95% of stocks over the past year and 93% of biotechnology peers.

Why This Combination Matters

Growth stocks with strong technical setups often present favorable risk-reward opportunities. ADMA’s fundamentals suggest sustained expansion, while its chart indicates a potential breakout after recent consolidation. Investors looking for growth exposure with a defined technical entry may find this setup appealing.

For more details, review the full fundamental report and technical analysis.

Our Strong Growth Stocks with Good Technical Setup Ratings screener lists additional candidates updated daily.

Disclaimer

This is not investment advice. The observations here are based on current data, but market conditions can change. Always conduct your own research before making investment decisions.