Amer Sports Inc (NYSE:AS) Combines High Growth Momentum with Bullish Technical Setup

For investors looking for a disciplined method to capture growth, joining fundamental momentum with technical timing can be an effective strategy. This process involves filtering for companies showing strong short-term earnings speed and rising analyst revisions, key parts of high-growth momentum investing, while also spotting those in a positive technical state. This means finding stocks with sound underlying business trends that are also making practical chart patterns, providing a possible entry point with clear risk. One stock that recently appeared from such a multi-factor filter is AMER SPORTS INC (NYSE:AS).

High Growth Momentum Fundamentals

Amer Sports, the global sporting goods company with brands like Salomon, Arc'teryx, and Wilson, shows positive fundamental momentum that fits with growth-focused plans. The company's recent financial results display notable speed in profitability, an important point for momentum investors who focus on earnings strength and rising revisions.

• Strong Earnings Growth: The company's trailing twelve-month (TTM) EPS growth is at a notable 336.8%. While this is partly from a recovery from earlier losses, the newest quarterly data confirms continued strength. Year-over-year EPS growth for the last reported quarter was 135.7%.
• Steady Sales Growth: Top-line growth gives a firm base, with TTM revenue up 25.9%. Quarterly sales growth has been steadily solid, staying around the 24-30% range over the past few quarters.
• Margin Improvement and Analyst Trust: A clear mark of operational gain is seen in growing profit margins. The profit margin in the last quarter was 8.15%, a large rise from 1.47% in the quarter before. This better profitability is being acknowledged; analyst EPS estimates for the next year have been moved upward by 9.5% over the last three months.
• Earnings Beats: The company has exceeded EPS estimates in three of the last four quarters, with an average beat of over 54%.

These measures together add to Amer Sports' ChartMill High Growth Momentum Rating of 6. This rating combines short-term earnings momentum, speed, surprises, and analyst revisions into one score. A rating of 6 points to a company that is clearly of interest for momentum plans, showing the sort of fundamental speed and positive estimate changes that can support continued price gains.

Technical Strength and Setup Quality

While solid fundamentals give the "why," technical analysis gives the "when." Amer Sports currently shows a positive technical view, getting a high ChartMill Technical Rating of 9 and a Setup Rating of 8. A full breakdown is in the full technical report.

• Positive Trend Position: Both the long-term and short-term trends for AS are rated as good. The stock is trading above its important moving averages (20-day, 50-day, and 200-day SMAs), which are all in rising arrangements. This puts it in the top group of market performers, doing better than 82% of all stocks over the past year.
• Positive Pause: After a solid rise, the stock has moved into a pullback stage marked by lower volume, a typical sign of a healthy pause rather than selling. This activity has formed what technical analysts see as a bull flag pattern.
• Clear Risk Levels: The current setup gives defined levels for trade management. The analysis finds a nearby support area around $36.82, which could act as a sensible place for a stop-loss order. Close overhead resistance is seen near $39.28. A clear move above this resistance could point to a restart of the earlier uptrend.

This mix is exactly what the filtering method looks for: a fundamentally sound company in a technical pause, possibly giving a lower-risk entry point within a set uptrend. The high Setup Rating of 8 confirms the stock is in a consolidation stage, lowering volatility and preparing for a possible next move higher.

A Merging Opportunity

Amer Sports shows the sort of opportunity aimed for by a joined growth-and-technical filter. The company is not only growing; its growth is speeding up in terms of profitability, it is regularly beating expectations, and analysts are noticing by increasing their estimates. This fundamental momentum is happening while the stock chart shows an orderly, trend-following pattern with a defined consolidation. For investors using strategies like CANSLIM or those guided by Mark Minervini’s ideas, AS presents a case where earnings momentum and chart activity are aligned.

Filters that sort for high growth momentum, good technicals, and quality setups are made to focus the list to such merging opportunities. If you want to see other stocks currently meeting similar rules for high growth momentum and technical breakout setups, you can check the newest results using this pre-set filter.

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Disclaimer: This article is for information only and is not investment advice, a suggestion, or an offer to buy or sell any security. The analysis is based on given data and shows conditions at a specific time. Investing has risk, including the possible loss of principal. Always do your own research and think about talking with a qualified financial advisor before making any investment choices.