Guardian Pharmacy Services (NYSE:GRDN) Identified as a High-Growth Momentum Stock by Minervini Strategy

Guardian Pharmacy Services (NYSE:GRDN) has recently been identified by a particular stock screen made to find companies that fit Mark Minervini's high-growth momentum strategy. This method uses strict technical study alongside fundamental growth measures, concentrating on stocks displaying solid upward trends, better relative performance, and increasing earnings and sales growth. The process aims to find market leaders early in their price increase phase, highlighting careful risk control and exact entry positions.

Technical Strength and Trend Template Alignment

Guardian Pharmacy Services displays notable technical features that satisfy the requirements of Minervini's Trend Template, a structured process for recognizing stocks in established uptrends.

The stock's price movement shows agreement with important moving averages, a fundamental part of the Trend Template process:

• Current price ($28.36) trading above the 150-day SMA ($24.29) and 200-day SMA ($23.37)
• Both the 150-day and 200-day moving averages moving upward
• 50-day SMA ($26.92) located above both the 150-day and 200-day averages

These moving average arrangements form a "stacked" setup that signals continued buying interest across various periods. The Trend Template focuses on this structure to make sure traders only look at stocks with confirmed upward momentum, passing over those in sideways phases or downward trends.

Other technical positives are:

• Trading 60% above its 52-week low of $17.78
• Relative strength ranking of 85, showing it does better than 85% of all stocks
• Long-term trend stays positive even with recent sideways movement

Fundamental Growth Metrics

Apart from technical strength, Guardian Pharmacy Services shows the fundamental speed that Minervini's strategy needs for high-growth prospects. The company's earnings results are especially significant.

Recent quarterly results display notable speed:

• EPS growth of 107.5% in the most recent quarter
• Revenue growth of 20.0% in the latest quarter
• Three straight quarters of revenue estimate beats with average surprise of 1.8%

The earnings speed is further confirmed by year-over-year comparisons:

• Trailing twelve-month EPS growth of 139.4%
• Solid forward estimates with next quarter EPS growth expected at 19.9%

Minervini's research repeatedly indicates that stocks achieving large price gains usually show very strong earnings growth before their main advances. The mix of good technical placement and fundamental speed forms a favorable situation for possible better performance.

Industry Placement and Market Context

Functioning in the Consumer Staples Distribution & Retail industry, Guardian Pharmacy Services has built a leading position inside its sector. The company's particular focus on serving long-term care facilities via its technology-based platform offers a defensive advantage in an increasing demographic area.

The stock's relative strength ranking of 85 shows it is doing better than most of the market, while its sector-relative strength of 81 indicates leadership within its industry group. This double strength is important in Minervini's process, as sector front-runners often keep leading during market upturns.

Technical Assessment Summary

Based on ChartMill's technical study report, Guardian Pharmacy Services gets a technical rating of 7 out of 10. The report mentions that while the stock has been a stronger performer over the last year, some short-term points of caution are present. The setup quality rating of 4 implies the current sideways formation may not be best for instant entry, although the long-term trend is still positive.

Important technical points are:

• Four noted support levels between $20.15 and $27.55
• Resistance area between $28.93 and $29.64
• Trading in the middle of its 52-week range while the overall market trades near highs
• Recent trading span between $27.38 and $37.43 has been somewhat wide

View the complete technical analysis report for GRDN

Investment Considerations

For investors using the Minervini method, Guardian Pharmacy Services offers an interesting example of solid fundamental growth paired with technically good placement. The company's very strong earnings growth, sector leadership, and agreement with key moving averages form a profile that is worth watching for possible entry positions during healthy pauses.

The stock currently displays the traits Minervini links with possible leadership candidates, though the recent wide trading span and neutral near-term trend indicate waiting could be better for improved risk/reward entry setups.

Discover more high-growth momentum candidates meeting the Minervini criteria through our specialized screening tool

Disclaimer: This analysis is for informational and educational purposes only and does not constitute investment advice. All investments involve risk, and past performance is no guarantee of future results. Conduct your own research and consult with a qualified financial advisor before making any investment decisions.