GRUPO FINANCIERO GALICIA-ADR (NASDAQ:GGAL) – A CANSLIM Candidate with Strong Growth Metrics

GRUPO FINANCIERO GALICIA-ADR (NASDAQ:GGAL) has been flagged by our CANSLIM stock screener due to its notable earnings and revenue growth, along with other key criteria aligned with William O’Neil’s investment strategy. Below, we examine why GGAL stands out for growth-focused investors.

Key CANSLIM Criteria Met by GGAL

• Earnings Growth (C & A Criteria): GGAL reported a staggering 639.3% year-over-year EPS growth for the latest quarter, far exceeding the CANSLIM minimum threshold of 20%. Over the past three years, EPS has grown at an annualized rate of 259.2%, reinforcing sustained profitability.
• Revenue Growth (C Criteria): Quarterly revenue surged 31.9%, comfortably above the 25% benchmark.
• Return on Equity (A Criteria): With an ROE of 31.6%, GGAL ranks among the top performers in its industry.
• Relative Strength (L Criteria): The stock’s 90.3 relative strength score indicates it outperforms 90% of the market, a hallmark of leadership.
• Institutional Sponsorship (I Criteria): Institutional ownership sits at 45.3%, well below the 85% ceiling, suggesting room for further institutional accumulation.
• Debt Levels (S Criteria): A debt-to-equity ratio of 0.76 reflects a manageable balance sheet structure.

Technical and Fundamental Overview

• Technical Analysis: GGAL’s long-term and short-term trends are currently negative, though its 12-month performance (+70%) remains strong. Resistance levels are clustered between $54.51 and $64.39, while support sits near $53.86 and $43.84.
• Fundamental Analysis: While GGAL excels in growth and profitability, its financial health score is weak due to rising debt and share dilution. Valuation metrics suggest the stock may be expensive relative to peers.

For a deeper look, review the full technical analysis and fundamental report.

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Disclaimer

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