INTER & CO INC - CL A (NASDAQ:INTR) Emerges as a Strong Contender in Mark Minervini’s Trend-Following Strategy

Inter & Co Inc - Cl A (NASDAQ:INTR) has become a possible choice for investors using Mark Minervini’s trend-following method, which focuses on strong technical patterns paired with solid growth fundamentals. The stock was found through a "High Growth Momentum + Trend Template" screen, which looks for stocks showing both strong price movement and increasing earnings growth, key parts of Minervini’s strategy.

Why INTR Matches the Minervini Trend Template

Minervini’s approach favors stocks in clear upward trends, supported by moving averages, relative performance, and closeness to 52-week highs. INTR fits these conditions:

• Price Above Key Moving Averages: The stock is above its 50-day ($7.14), 150-day ($6.22), and 200-day ($5.97) moving averages, indicating a steady upward trend.
• Rising Averages: The 150-day and 200-day MAs are both increasing, showing long-term positive movement.
• Relative Performance: With a ChartMill Relative Strength (CRS) score of 77.19, INTR beats 77% of stocks, a sign of strong performance.
• Near Highs: The stock is within 2.3% of its 52-week high ($8.37), reflecting high demand.

These points match Minervini’s view that stocks close to highs with confirmed movement are more likely to keep rising.

Strong Growth Fundamentals

Beyond technical factors, INTR shows fast growth, a key detail for growth-focused investors:

• Earnings Growth:
  • EPS rose 69.1% YoY (TTM) and 177.5% in the last fiscal year, showing quick profit growth.
  • Quarterly EPS growth has stayed solid, with the most recent quarter up 51.1% YoY.
• Revenue Growth:
  • Revenue grew 32.0% YoY (TTM), with the latest quarter up 35.5% YoY.
  • Past revenue growth remains strong, averaging 55.7% over the past two years.
• Profit Margins: Increased to 15.1% in the last quarter, up from 6.1% two years ago, showing better efficiency.

These numbers suggest INTR is not only technically sound but also growing quickly, a mix Minervini looks for in top-performing stocks.

Technical Overview

ChartMill’s technical report gives INTR a score of 8/10, noting:

• Positive short- and long-term trends.
• Strong performance compared to peers in the banking sector (beating 74%).
• A recent move to new 52-week highs, though some ups and downs suggest waiting for a steadier pattern before buying.

View the full technical analysis here.

What Investors Should Consider

INTR offers a strong case for trend and growth investors, but patience is important. Minervini’s method highlights waiting for the best entry points, like a volatility contraction pattern (VCP), to reduce risk.

For more high-growth momentum stocks that fit the Trend Template, check our High Growth Momentum + Trend Template screen.

Disclaimer: This analysis is for informational purposes only and not investment advice. Always conduct your own research or consult a financial advisor before making investment decisions. Read our full disclaimer here.