Adaptive Biotechnologies (NASDAQ:ADPT) Fits Minervini's Trend Template with Strong Growth Momentum

Adaptive Biotechnologies Corp. (NASDAQ:ADPT) has been recognized as a possible choice for investors using Mark Minervini’s trend-based approach and high-growth momentum investing. The Minervini Trend Template helps spot stocks with solid upward trends, blending technical and fundamental factors to confirm strong price movement and relative performance. The High Growth Momentum (HGM) rating identifies firms with rising earnings and revenue growth, a crucial element for lasting stock success.

Why ADPT Matches the Minervini Trend Template

The Minervini Trend Template demands stocks to fulfill specific technical conditions to verify a strong upward trend. ADPT meets these requirements:

• Price Above Key Moving Averages:

  • The current price ($12.20) is higher than the 50-day ($10.84), 150-day ($8.91), and 200-day ($8.09) moving averages.
  • The 50-day MA is higher than both the 150-day and 200-day MAs, showing positive alignment across periods.
  • The 200-day MA is moving up, supporting long-term stability.

• Strong Relative Performance:

  • ADPT’s relative strength (CRS) is 96.82, meaning it beats nearly 97% of all stocks, a sign of market leadership.

• Price Performance vs. 52-Week Range:

  • The stock is trading 172.9% above its 52-week low ($3.98) and within 5.6% of its 52-week high ($12.92).
  • Stocks close to highs often show ongoing momentum, a core Minervini idea.

These elements fit Minervini’s focus on Stage 2 upward trends, where stocks stabilize before reaching new highs.

High Growth Momentum Fundamentals

Beyond technicals, ADPT displays solid growth figures, important for high-growth investors:

• Earnings Growth Improvement:

  • Quarterly EPS growth (Q2Q) is 45.16%, with earlier quarters also showing strong growth (39.4%, 23.3%, 37.1%).
  • Annual EPS growth (TTM) is 36.4%, reflecting better profitability.

• Revenue Growth:

  • Quarterly revenue growth (Q2Q) is 36.3%, with steady gains in prior quarters.
  • Revenue forecasts for the next quarter suggest 21.2% growth, pointing to continued demand.

• Positive Estimate Changes:

  • Analysts have increased next-year EPS estimates by 7.99% over the past three months, indicating upward movement.

These fundamentals align with Minervini’s view that rising earnings and revenue growth draw institutional interest, pushing prices higher.

Technical Analysis Summary

ChartMill’s technical report gives ADPT a perfect 10/10, noting:

• A solid upward trend in both short and long-term periods.
• High relative performance in its sector (Life Sciences Tools & Services).
• Recent higher-than-average volume during upward moves, a signal of institutional buying.

However, the setup rating is 3/10, suggesting the stock may be overbought soon. Investors could wait for a dip or stabilization before buying.

View the full technical report here.

Conclusion

ADPT represents a stock that fits both Minervini’s trend standards and high-growth momentum fundamentals. Its strong technicals, along with improving earnings and revenue, make it an attractive option for trend and growth investors.

For more stocks matching this strategy, check the High Growth Momentum + Trend Template screen.

Disclaimer: This analysis is for informational purposes only and does not constitute investment advice. Always conduct your own research or consult a financial advisor before making investment decisions.