ARIS MINING CORP (NYSEARCA:ARMN) Emerges as a Top Growth and Momentum Pick

ARIS MINING CORP (NYSEARCA:ARMN) has become a notable option for investors using a systematic growth and momentum strategy. The stock was found through a screening process that joins Mark Minervini's Trend Template with a High Growth Momentum (HGM) rating. This two-step method looks for companies that are not only in strong technical uptrends but also show the fundamental earnings and sales expansion that usually supports continued price gains. The system favors stocks displaying leadership, high relative strength, and improving business numbers, trying to find securities during their most active growth periods.

Technical Strength and Trend Template Alignment

The Minervini Trend Template offers a detailed structure for finding stocks in a confirmed Stage 2 uptrend, and ARIS MINING CORP presently meets its main technical requirements. This match is important as it helps investors concentrate on market leaders and sidestep the dangers of buying declining assets or purchasing into weak, consolidating patterns.

Key technical measurements that confirm this match are:

• Price and Moving Average Configuration: The stock's present price of $11.82 trades well above its important moving averages, the 50-day ($10.14), 150-day ($7.94), and 200-day ($7.04). Importantly, all these moving averages are moving upwards, confirming continued buying interest across several timeframes.
• Proximity to Highs: With a 52-week high of $12.01, the present price is within 1.6% of its top. The Trend Template notes that stocks close to new highs often have the strongest momentum, and ARMN shows this trait.
• Distance from Lows: The stock has risen about 260% from its 52-week low of $3.29, greatly passing the template's need to be at least 30% above the low. This shows a strong recovery and confirmed uptrend.
• Superior Relative Strength: A ChartMill Relative Strength (CRS) rating of 97.89 shows that ARMN has done better than almost 98% of all stocks over the last year. High relative strength is a key part of the Minervini strategy, as it finds sector and market leaders that institutions are buying.

Fundamental Momentum and Growth Drivers

Beyond a technically good chart, a stock needs to show fundamental energy to be considered a high-growth option. ARIS MINING CORP displays fast growth in several important financial measurements, which are needed to confirm the price momentum and indicate possibility for future increases.

The company's earnings ability has increased quickly:

• Fast Earnings Growth: The most recent quarter saw Earnings Per Share (EPS) rise by 350% compared to the same quarter last year. This comes after high growth rates of 237.5% and 300% in the two earlier quarters.
• Analyst Confidence: The average analyst estimate for next year's EPS has been adjusted higher by almost 40% over the last three months. Such large upward adjustments often come before more price gains as they show increasing positive feeling about the company's future.
• Strong Sales Expansion: Revenue growth is also good, with the last quarter showing a 91.6% year-over-year rise. This top-line growth confirms that the earnings gains are backed by growing business activities.
• Improving Profitability: The company's profit margin in the last reported quarter was 16.3%, a large improvement that points to operational efficiency and pricing ability.

These fundamental improvements are exactly what the High Growth Momentum screen looks for. They provide the support for the stock's technical movement, creating a strong situation where good price action is supported by real business results.

Technical Health and Market Position

An examination of the wider technical view further supports the positive case for ARMN. The stock has been a top performer, greatly beating the wider market.

• ChartMill Technical Rating: ARMN has received a top technical rating of 10 out of 10. This score shows very good health across many technical indicators and timeframes.
• Sustained Outperformance: The stock has provided notable returns over different periods, including an 85% increase over six months and a 183% increase over the past year. This steady strength is a sign of a leading stock.
• Sector Leadership: Inside the competitive Metals & Mining industry, ARMN does better than 88% of its 154 competitors, confirming its position as a sector leader.

Summary of Technical Analysis

The detailed technical report for ARMN points out its high position. The stock gets a top technical rating of 10, led by positive long-term and short-term trends and steady outperformance against the general market. It is presently trading near a new 52-week high, indicating strength. While the report mentions that the recent changeable price movement leads to a lower setup quality rating, suggesting investors might prefer to wait for a period of consolidation for a better entry point, the basic technical health is clearly good. For a full explanation of the technical analysis, you can examine the full technical report for ARMN.

Finding Similar Opportunities

ARIS MINING CORP shows the kind of high-growth, technically good opportunity that methodical screening can find. Investors searching for other stocks that meet similar strict criteria of the Minervini Trend Template and high fundamental growth can investigate the predefined screen used to find ARMN. You can find more possible options by using this screening method here.

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Disclaimer: This article is for informational and educational purposes only and is not intended as investment advice. The analysis does not constitute a recommendation to buy, sell, or hold any security. All investments involve risk, and you should conduct your own research and consult with a qualified financial advisor before making any investment decisions. Please read our full disclaimer and terms of use for more details.