EXELIXIS INC (NASDAQ:EXEL) – A High-Growth Momentum Stock with Strong Technical Setup

EXELIXIS INC (NASDAQ:EXEL) stands out as a compelling candidate for high-growth momentum investors, backed by strong earnings momentum and a favorable technical breakout pattern. The company, focused on developing oncology treatments, has demonstrated impressive financial growth while maintaining a technically sound stock trend.

Fundamental Strengths Supporting Growth Momentum

• Earnings Growth: EXEL reported a 205.6% year-over-year increase in EPS (TTM), with recent quarterly EPS growth reaching 175%.
• Revenue Expansion: Sales grew by 24.5% over the past year, with the most recent quarter showing a 30.6% increase.
• Profit Margin Expansion: The company’s profit margin improved to 28.7% in the latest quarter, up from 24.7% in the prior quarter.
• Positive Revisions & Surprises: Analysts have raised next-year EPS estimates by 9.1% over the past three months, and EXEL has beaten EPS estimates in all of the last four quarters by an average of 55.5%.
• Free Cash Flow Growth: FCF per share surged by 209.5% year-over-year, reflecting strong operational efficiency.

Technical Strength and Setup Quality

EXELIXIS holds a perfect Technical Rating of 10, indicating a strong uptrend across both short and long-term timeframes. Key technical highlights include:

• Consistent Uptrend: The stock has outperformed 94% of the market over the past year, with gains well-distributed over time.
• Support Levels: Multiple support zones exist below the current price, including a key area between $42.11 and $42.36, providing a potential stop-loss level.
• Setup Quality (Rating: 8): The stock is consolidating after a recent pullback, reducing volatility and presenting a potential entry point. A breakout above $43.89 could signal further upside.

For a deeper technical breakdown, review the full technical report.

Our High Growth Momentum Breakout Setups Screen lists more stocks with similar growth and technical characteristics.

Disclaimer

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