Is BELLRING BRANDS INC (NYSE:BRBR) a Minervini-style stock?

In this article we will dive into BELLRING BRANDS INC (NYSE:BRBR) as a possible candidate for growth investing. Investors should always do their own research, but we noticed BELLRING BRANDS INC showing up in our Minervini growth screen, which makes it worth to investigate a bit more.

BRBR passes the Minervini Trend Template check!

The Minervini Trend Template is a set of technical criteria designed to identify stocks in strong uptrends. We can check all the boxes for BRBR:

• ✔ Relative Strength is above 70.
• ✔ Current price is within 25% of it's 52-week high.
• ✔ Current price is at least 30% above it's 52-week low.
• ✔ The current price is above the 50-, 150- and 200-day SMA price line.
• ✔ The SMA(200) is trending upwards.
• ✔ The SMA(150) is above the SMA(200)
• ✔ The SMA(50) is above the SMA(150) and the SMA(200)

Some of the high growth metrics of BRBR highlighted

To evaluate a stock's growth potential, ChartMill utilizes a High Growth Momentum Rating (HGM) on a scale of 0 to 10. This assessment considers various growth and profitability aspects, like EPS and revenue growth, accelleration, surprises and revisions. BRBR has achieved a 6 out of 10:

Explosive Earnings Growth

• The EPS of BRBR has exhibited growth from one quarter to another (Q2Q), with a 34.88% increase. This underscores the company's ability to generate higher earnings and improve its financial standing.
• Accelerating EPS growth for BRBR: the current Q2Q growth of 34.88% exceeds the previous quarter Q2Q growth of 24.39%.
• Over the past year, BRBR has demonstrated 46.48% growth in EPS, signifying its positive financial trajectory and potential for future profitability.
• The EPS of BRBR has shown consistent growth over a 3-year period, indicating the company's ability to generate increasing earnings over time.
• The recent q2q revenue growth of 23.82% of BRBR showcases the company's ability to generate increasing revenue in a short period, reflecting its positive growth trajectory.
• BRBR shows accelerating Sales growth: when comparing the current Q2Q growth of 23.82% to the previous quarter Q2Q growth of 17.6%, we see the growth rate improving.
• Sales growth accelerated for 2 quarters in a row.
• The 1-year revenue growth of BRBR (21.0%) has been strong, reflecting the company's ability to generate consistent sales growth. This growth suggests the company's ability to meet customer needs and expand its market share.
• Analysts' average next Quarter EPS Estimate for BRBR has witnessed a 8.94% change in the last 3 months, underscoring the evolving market expectations towards the company's EPS prospects.
• BRBR has consistently exceeded EPS estimates in the last 4 quarters, demonstrating its ability to outperform market expectations. This trend highlights the company's strong financial performance and its potential for future growth.

Profitability & Financial Strength

• With a favorable trend in its operating margin over the past year, BRBR demonstrates its ability to enhance profitability through efficient operations. This growth reflects the company's focus on optimizing its cost structure.
• With a favorable trend in its profit margin over the past year, BRBR demonstrates its ability to enhance profitability through efficient operations.
• With positive growth in its free cash flow (FCF) over the past year, BRBR showcases its ability to generate strong cash flows and maintain a solid financial position. This growth reflects the company's efficient utilization of capital and its commitment to long-term value creation.

Market Strength

• BRBR has maintained a healthy Relative Strength (RS) over the analyzed period, with a current 87.47 rating. This demonstrates the stock's ability to outperform its peers and indicates its competitive positioning.

How does the Setup look for BRBR

ChartMill incorporates a Setup Rating in its analysis, which measures the extent of consolidation in a stock over recent days and weeks. This rating, ranging from 0 to 10, is updated daily and takes into account multiple short-term technical indicators. The current setup rating for BRBR is 6:

BRBR has an excellent technical rating, but the quality of the setup is only medium at the moment. Price movement has been a little bit too volatile to find a nice entry and exit point. It is probably a good idea to wait for a consolidation first.

Check the latest full technical report of BRBR for a complete technical analysis.

More like this

It looks like BELLRING BRANDS INC meets the Minervini criteria. More high growth momentum breakout stocks can be found in our High Growth Momentum + Trend Template screen.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.