CENTRUS ENERGY CORP-CLASS A (NYSEARCA:LEU) – A Strong Contender in High Growth and Momentum Investing

CENTRUS ENERGY CORP-CLASS A (NYSEARCA:LEU) has emerged as a standout candidate for investors following the Minervini Trend Template and high-growth momentum strategies. The stock exhibits strong technical trends and robust fundamental growth, making it a compelling option for traders and investors seeking high-performance opportunities.

Why LEU Fits the Minervini Trend Template

Mark Minervini’s strategy focuses on identifying stocks with strong uptrends, supported by key technical criteria. LEU meets these requirements:

• Price Above Key Moving Averages: The stock is trading well above its 50-day ($100.77), 150-day ($87.07), and 200-day ($81.47) moving averages, confirming a bullish trend.
• Upward-Sloping Moving Averages: Both the 150-day and 200-day MAs are trending higher, reinforcing long-term strength.
• Relative Strength: LEU has a ChartMill Relative Strength (CRS) score of 99.19, meaning it outperforms nearly all other stocks in price performance.
• Price Near 52-Week High: At $180.96, LEU is within 0.8% of its 52-week high ($182.39), a sign of strong momentum.
• Significant Gains from Low: The stock is up 440% from its 52-week low ($33.51), indicating a powerful recovery and sustained uptrend.

High Growth Momentum Fundamentals

Beyond technical strength, LEU demonstrates impressive growth metrics:

• Earnings Growth:
  • EPS (TTM) stands at $5.69, up 108.4% year-over-year.
  • Recent quarterly EPS growth surged 336.8%, reflecting accelerating profitability.
• Revenue Expansion:
  • Revenue (TTM) grew 58.7% year-over-year.
  • Quarterly sales increased 67.3%, with consistent beats on analyst estimates (4 out of 4 quarters).
• Profit Margins:
  • The latest quarter’s profit margin was 37.2%, up from 35.4% in the prior quarter.
  • Free cash flow per share grew 181% year-over-year, highlighting strong cash generation.
• Analyst Revisions:
  • EPS estimates for next year have been revised upward by 10.9% over the past three months, signaling confidence in future earnings.

Technical Report Summary

LEU scores a perfect 10 in ChartMill’s technical rating, reflecting its strong uptrend and market leadership. Key takeaways from the report:

• The stock is outperforming 99% of stocks in its industry (Oil, Gas & Consumable Fuels).
• Both short-term and long-term trends are positive.
• While the technical health is excellent, the setup rating is currently 3, suggesting investors may want to wait for a consolidation before entering.

For a deeper dive into LEU’s technicals, review the full technical report here.

Our High Growth Momentum + Trend Template screener lists more stocks that fit this strategy and is updated daily.

Disclaimer

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