CYTOMX THERAPEUTICS INC (NASDAQ:CTMX) - A Strong Contender in High-Growth Biotech

CYTOMX THERAPEUTICS INC (NASDAQ:CTMX) has emerged as an interesting candidate for investors following the Minervini trend-following strategy while also meeting high-growth momentum criteria. The biotech firm’s stock exhibits strong technical characteristics and accelerating fundamentals, making it worth a closer look.

Why CTMX Fits the Minervini Trend Template

The Minervini Trend Template focuses on identifying stocks in strong uptrends with multiple technical confirmations. CTMX meets these criteria:

• Price Above Key Moving Averages: The stock is trading above its 50-day ($2.01), 150-day ($1.22), and 200-day ($1.18) moving averages, confirming a bullish trend.
• Upward-Sloping Moving Averages: The 50-day MA is above both the 150-day and 200-day MAs, while the 150-day MA is also above the 200-day MA—a sign of sustained upward momentum.
• Strong Relative Strength: With a ChartMill Relative Strength (CRS) score of 98.94, CTMX outperforms nearly 99% of stocks in its sector.
• Price Near 52-Week High: The stock is currently trading at $2.37, within 25% of its 52-week high of $3.10, indicating strong momentum.

High-Growth Momentum Fundamentals

Beyond technical strength, CTMX shows compelling growth metrics:

• Earnings Growth: EPS (TTM) stands at $0.49, with year-over-year growth of 145%. Quarterly EPS growth has been robust, including a 58.8% increase in the most recent quarter.
• Revenue Expansion: Revenue growth (TTM) is up 23.8%, with recent quarterly sales increasing by 22.8%.
• Profitability Improvement: The company’s profit margin improved to 46.2% in the latest quarter, up from 17.2% two quarters prior.
• Analyst Confidence: Despite recent downward revisions, CTMX has beaten EPS estimates in all of the last four quarters by an average of 128.5%.

Technical Outlook

The stock’s technical report highlights:

• A strong long-term and short-term uptrend.
• Support levels at $2.24 (weekly) and $2.10 (daily).
• Resistance near $2.51–$2.63, which could serve as a breakout target.

For a deeper dive into the technicals, review the full technical report here.

Our High Growth Momentum + Trend Template screener lists more stocks that fit this strategy.

Disclaimer

This is not investment advice. Always conduct your own research before making investment decisions.