JFROG LTD (NASDAQ:FROG) Shows High-Growth Momentum and Technical Strength

A systematic method for finding high-potential growth stocks joins rigorous technical study with fundamental momentum screening. The process uses Mark Minervini's Trend Template, which finds stocks in strong uptrends, with a High Growth Momentum filter that spots companies showing outstanding earnings and revenue increases. This two-part plan looks for securities showing both solid price momentum and underlying business growth, forming a structure for finding possible market leaders before they have large price changes.

Technical Strength and Trend Alignment

JFROG LTD (NASDAQ:FROG) shows outstanding technical features that match Minervini's Trend Template conditions. The stock is now priced at $59.25, placing it well above all main moving averages that define the Trend Template's needs:

• Current price is positioned notably above the rising 150-day MA ($44.93) and 200-day MA ($42.29)
• All moving averages show upward slopes, confirming continued momentum
• The 50-day MA ($50.71) is priced above both the 150-day and 200-day MAs
• Price holds a strong position at 119% above its 52-week low of $27.00
• The current price is within 10% of its 52-week high of $65.50

These technical matches are vital within Minervini's method as they find stocks already in clear uptrends with institutional backing. The template makes sure traders concentrate on strength instead of trying to catch falling prices or guess on turnaround cases.

Exceptional Relative Strength Performance

The stock's relative strength ranking of 94.95 puts it in the top 5% of all stocks for price performance. This outstanding ranking shows that JFrog is doing much better than the wider market, a main feature Minervini highlights for finding true market leaders. Stocks with high relative strength during market uptrends frequently continue their better performance as institutional investors focus capital in the strongest performers.

Inside its industry group, JFrog does better than 91% of software stocks, further confirming its leadership position. This sector-relative strength is especially important as money moves toward the strongest companies within the best-performing industries during bullish market periods.

Impressive Growth Metrics

JFrog's fundamental profile shows speeding business momentum that supports its technical strength. The company shows strong earnings growth with EPS increasing 21.54% over the trailing twelve months and quarterly EPS growth speeding up to 46.67% in the latest quarter. This earnings acceleration pattern is critical for high-growth investors looking for companies that are not just growing but speeding up their growth path.

Revenue growth stays consistently solid across multiple time periods:

• 22.47% revenue growth over the past year
• 25.54% growth in the most recent quarter
• Positive revenue revisions from analysts suggesting better forward expectations

The company has built a notable history of beating earnings estimates, exceeding expectations in all of the last four quarters by an average of 24.98%. This steady outperformance shows management's ability to execute and deliver results beyond market expectations, a feature often seen in new market leaders.

Free Cash Flow Generation

Beyond top-line growth, JFrog shows notable cash flow generation with free cash flow per share of $1.19, representing large growth of 460.55% over the past year. This big expansion in cash generation gives the company financial flexibility to invest in growth projects, follow strategic purchases, or return capital to shareholders, all positive signs for long-term value creation.

Technical Health Assessment

According to ChartMill's full technical study, JFrog gets a perfect technical rating of 10 out of 10, showing outstanding technical health across all examined time frames. The report states that "both in the recent history as in the last year, FROG has proven to be a steady performer, scoring decent points in every aspect analyzed."

Main technical observations include:

• Both short-term and long-term trends are positive
• The stock is trading in the upper part of its 52-week range
• Multiple clear support levels between $31.93 and $56.86 provide downside protection
• Solid volume features with recent accumulation patterns

While the technical rating is excellent, the setup rating of 3 suggests investors may want to wait for better entry chances during times of consolidation instead of following extended price moves.

Investment Considerations

For investors following the Minervini method joined with high-growth conditions, JFrog presents a strong case study of a company showing both technical strength and fundamental acceleration. The stock meets all Trend Template needs while showing the earnings momentum and revenue growth that mark new leaders.

The combination of perfect technical match, outstanding relative strength, speeding earnings growth, and solid cash flow generation forms a profile that interests both technical and fundamental investors looking for exposure to high-growth software companies.

View the complete technical analysis report for FROG for detailed support and resistance levels, volume study, and additional technical metrics.

Discovering Similar Opportunities

Investors looking for more candidates that meet these strict growth and technical conditions can examine the High Growth Momentum + Trend Template screen which methodically finds stocks showing both strong trend features and speeding fundamental momentum.

Disclaimer: This analysis is for informational and educational purposes only and does not constitute investment advice. All investment decisions should be based on your own research, risk tolerance, and financial situation. Past performance does not guarantee future results. Please read our full disclaimer and terms of service for complete understanding of our obligations.