EVERQUOTE INC - CLASS A (NASDAQ:EVER) - A High Growth Momentum Stock with Strong Technical Setup

EVERQUOTE INC - CLASS A (NASDAQ:EVER) stands out as a high-growth momentum candidate with a solid technical setup. The company, which operates an online insurance marketplace, has demonstrated strong earnings and revenue growth while presenting a favorable chart pattern for potential breakout traders.

Growth Momentum Highlights

EVER’s fundamentals reflect accelerating growth, a key factor for momentum investors:

• EPS Growth (TTM): +179% year-over-year, with recent quarterly EPS growth exceeding 300%.
• Revenue Growth (TTM): +113.6%, supported by consistent quarterly sales growth above 80%.
• Free Cash Flow Growth: A staggering +524% over the past year, indicating strong cash generation.
• Positive Earnings Surprises: The company has beaten EPS estimates in 3 of the last 4 quarters, with an average surprise of +118.7%.
• Analyst Revisions: Upward revisions for next-year EPS (+9.6%) and revenue (+3.6%) suggest continued optimism.

Profit margins have also improved, with the latest quarter showing a 4.78% margin, up from negative figures in prior years.

Technical Strength & Setup

The stock earns a Technical Rating of 7 and a Setup Rating of 8, signaling a favorable consolidation phase:

• Trend: Both short-term and long-term trends are positive, with the stock trading above key moving averages (50-day, 100-day, and 200-day SMAs).
• Consolidation: Prices have been range-bound between $22.84 and $26.74 over the past month, reducing volatility and forming a potential breakout zone.
• Support & Resistance: Key support lies near $24.56, while resistance sits around $25.03—a breakout above this level could trigger further upside.
• Institutional Interest: Recent activity suggests large players are accumulating shares, adding confidence to the setup.

For a deeper look at the technicals, review the full technical report.

Why This Combination Matters

High-growth stocks with strong technical setups often attract momentum traders and investors looking for both fundamental strength and favorable entry points. EVER’s combination of accelerating earnings, improving margins, and a well-defined chart pattern makes it a noteworthy candidate.

Our High Growth Momentum Breakout Screen identifies more stocks with similar characteristics, updated daily.

Disclaimer

This is not investment advice. The observations here are based on data available at the time of writing. Always conduct your own research before making investment decisions.