AnaptysBio Inc (NASDAQ:ANAB) Meets Minervini Trend Template with High-Growth Momentum

Investors looking to find high-potential stocks in strong uptrends frequently use systematic methods that mix technical and fundamental analysis. One well-known method is the strategy made popular by Mark Minervini, which centers on spotting market leaders early in their major price increases. This method uses a strict "Trend Template" to confirm a stock is in a powerful, confirmed uptrend, while also requiring solid fundamental growth in earnings and sales. The aim is to locate companies that are both technically sound and seeing quickening business momentum, a pairing that has often come before major stock price gains.

AnaptysBio Inc (NASDAQ:ANAB) recently appeared from a screening process made to locate stocks that meet both the Minervini Trend Template and display high-growth momentum traits. This two-part filter process intends to separate companies that are technically set for continuation and fundamentally set for growth.

Fitting the Minervini Trend Template

The Minervini Trend Template is a group of fixed technical rules made to filter for stocks in a dominant Stage 2 uptrend. It focuses on price trading above important moving averages, with those averages arranged in a positive order, and the stock displaying leadership through high relative strength. AnaptysBio currently meets these strict technical requirements, which are vital for the strategy as they help steer clear of stocks in basing or falling stages and concentrate capital on issues where the path of least resistance is clearly upward.

A look at ANAB's chart and technical data shows a strong match with the template's rules:

• Price vs. Moving Averages: The current price trades well above the rising 50-day ($38.58), 150-day ($28.44), and 200-day ($26.05) simple moving averages.
• Moving Average Alignment: The 50-day SMA is above both the 150-day and 200-day SMAs, and the 150-day SMA is above the 200-day SMA, confirming the positive arrangement across timeframes.
• Proximity to Highs: The stock is trading within 2% of its 52-week high of $49.90 and is about 302% above its 52-week low of $12.21, meeting the rules of being within 25% of the high and at least 30% above the low.
• Relative Strength: With a ChartMill Relative Strength (CRS) score of 98.9, ANAB is doing better than nearly 99% of all stocks, a key sign of market leadership that Minervini emphasizes.

This technical view points to strong institutional support and a maintained uptrend, giving the basic "trend" part of Minervini's Specific Entry Point Analysis (SEPA) method.

Fundamentals Backing High-Growth Momentum

While the Trend Template deals with the "when," Minervini's strategy strongly focuses on the "why" through fundamental analysis. The screen also demanded a minimum High Growth Momentum (HGM) rating, which judges the quickening and quality of a company's financial growth. For a clinical-stage biotech like AnaptysBio, this means quickly moving forward pipelines, important milestone successes, and getting better financial numbers. The given data shows strong fundamental momentum, which serves as the possible "catalyst" in the SEPA structure.

Key growth numbers for ANAB include:

• Earnings Quickening: The company has reported large year-over-year EPS growth in recent quarters, including 145.6% in the latest quarter. Analysts have greatly increased their estimates, with the average next-year EPS forecast changed upward by over 66% in the last three months.
• Revenue Jumps: Top-line growth is even more striking, with revenue for the last reported quarter up 154% year-over-year. Revenue estimates for the coming year have been changed upward by 111% in three months, pointing to strong forward-looking confidence.
• Estimate Beats: The company has beaten EPS estimates in three of the last four quarters and revenue estimates in all of the last four quarters, with an average revenue beat of 246%.

This pattern of quickening growth, positive surprises, and upward estimate changes is precisely what high-growth momentum investors and methods like Minervini's look for. It indicates the company is surpassing expectations and that the market is consistently re-evaluating its future higher.

Technical Condition and Current Position

According to ChartMill's own analysis, ANAB has a top-level Technical Rating of 10 out of 10, showing very good condition across short and long-term trends. The report states the stock is doing better than 95% of its biotechnology industry peers and is trading near new highs along with the wider market. The long-term trend is labeled as positive, which matches the overall neutral-to-positive market environment.

However, the analysis also gives a note of warning important for entry timing. The Setup Quality rating is currently a 3, showing that after its strong rally, the stock is stretched and not in an immediate consolidation shape good for a new low-risk entry. The summary proposes waiting for a time of volatility reduction or a pullback to a set support level before thinking about a position. This points out a key principle of the strategy: even very good stocks need a particular, low-risk entry point to improve the possible reward compared to the risk accepted.

You can review the full, detailed technical report for AnaptysBio here.

Locating Comparable Chances

AnaptysBio shows the kind of stock that passes a strict combined filter for trend and growth. For investors wanting to find other companies that currently meet similar rules, the screening process that found ANAB can be a beginning point for more study.

Click here to view the "High Growth Momentum + Trend Template" screen and look at other possible candidates.

---

Disclaimer: This article is for informational and educational purposes only. It is not a recommendation to buy or sell any security. The analysis is based on data provided and does not constitute investment advice. Investors should conduct their own thorough research, consider their financial situation, and consult with a qualified financial advisor before making any investment decisions. Please read our full disclaimer for more details.