AMER SPORTS INC (NYSE:AS) – A Strong Growth Candidate Meeting Minervini’s Criteria

AMER SPORTS INC (NYSE:AS) has emerged as a compelling candidate for growth investors, meeting both Mark Minervini’s Trend Template requirements and high-growth momentum criteria. The company, which manufactures and markets sports equipment and apparel, demonstrates strong technical and fundamental characteristics that align with Minervini’s strategy for identifying high-potential stocks.

Technical Strength: Meeting Minervini’s Trend Template

The stock satisfies all key technical conditions outlined in Minervini’s Trend Template:

• Price Above Key Moving Averages:

  • Current price ($37.67) is above the 50-day ($32.79), 150-day ($29.60), and 200-day ($26.63) moving averages.
  • The 50-day MA is above both the 150-day and 200-day MAs, confirming bullish alignment.

• Upward-Trending Averages:

  • The 150-day and 200-day moving averages are rising, reinforcing long-term strength.

• Strong Relative Strength:

  • With a ChartMill Relative Strength (CRS) of 97.96, AS outperforms nearly 98% of all stocks.

• Price Near 52-Week High:

  • Currently trading at $37.67, just 6.3% below its 52-week high ($40.21), indicating strong momentum.

• Significant Recovery from Lows:

  • The stock has surged 214% over the past year, well above the 30% threshold Minervini looks for.

Fundamental Growth Drivers

Beyond technical strength, AS exhibits robust growth metrics that appeal to momentum investors:

• Earnings Growth:

  • EPS (TTM) grew 182.4% year-over-year.
  • Quarterly EPS growth accelerated sharply, with the latest quarter up 237.5% year-over-year.

• Revenue Expansion:

  • Revenue (TTM) increased 21.2%, with consistent quarterly growth (last quarter +24.5%).
  • Analysts have raised next-year EPS estimates by 11.3% over the past three months.

• Profitability Improvements:

  • Profit margins expanded significantly, with the latest quarter at 0.94%, up from negative figures in prior years.

Technical Analysis Summary

The ChartMill Technical Report assigns AS a perfect 10/10 technical rating, citing:

• Strong long-term and short-term uptrends.
• High relative strength within its sector (Textiles, Apparel & Luxury Goods).
• Consolidation near recent highs, suggesting a potential breakout opportunity.

Support levels are noted at $36.04, while resistance sits near $39.37.

Our High Growth Momentum + Trend Template screener lists more stocks with similar growth and technical strength.

Disclaimer

This is not investing advice. The observations are based on current data, but investors should conduct their own analysis before making decisions.