LSB Industries Inc (NYSE:LXU) Displays Strong Trend and Growth Momentum

LSB Industries Inc (NYSE:LXU) has become an interesting option for investors tracking methodical growth plans. The stock was recently identified by a screening process that joins Mark Minervini's detailed Trend Template with criteria for strong growth momentum, forming a two-part method that finds companies displaying both technical health and fundamental growth attributes.

Technical Base: Fulfilling the Minervini Trend Template

The Minervini Trend Template offers a methodical structure for finding stocks in confirmed uptrends, concentrating on price behavior, moving average order, and relative performance. LSB Industries shows solid adherence to these technical points:

• Current Price Location: At a price of $9.25, the stock holds levels above all main moving averages (50-day: $8.63, 150-day: $7.95, 200-day: $7.72)
• Moving Average Order: The 50-day SMA is positioned above both the 150-day and 200-day SMAs, and the 150-day SMA stays above the 200-day SMA
• Trend Path: All main moving averages display rising paths, verifying continued positive momentum
• 52-Week Performance: The present price is 90% higher than its 52-week low of $4.88 while staying within 7% of its 52-week high of $9.98
• Relative Performance: With a relative strength rating of 75, LXU performs better than about three-quarters of all stocks in the market

These technical features match Minervini's approach of trading with the flow of confirmed trends instead of trying to guess lows or highs. The stock's location close to 52-week highs with good moving average backing points to institutional buying and continued demand.

Growth Momentum Basics

In addition to technical health, LSB Industries displays interesting growth attributes that meet strong growth momentum standards:

• Earnings Growth: The company presents notable EPS growth of 40% over the last twelve months, with recent quarterly EPS growth hitting 128% compared to the previous year
• Revenue Increase: Quarterly revenue growth of 42% points to good top-line results, while annual revenue growth displays recovery speed
• Estimate Changes: Analyst positivity is clear with next-year EPS projections increased by 14% during the last three months
• Earnings Surprises: The company has exceeded EPS projections in three of the past four quarters by a typical amount of 51%

These fundamental measurements align with Minervini's focus on joining technical health with basic business speed. The plan acknowledges that stocks making large price moves usually have good earnings and revenue growth driving their progress.

Industry Location and Market Situation

Functioning in the chemicals sector, LSB Industries has created a position in producing ammonia and nitrogen-based goods for farming and industrial uses. The company's recent results put it with the leading entities in its field, performing better than 86% of chemical industry counterparts. This sector-relative health is especially notable considering the present market conditions where the S&P 500 displays a negative long-term path but positive short-term momentum.

Technical Evaluation Summary

The detailed technical analysis report gives LXU a solid score of 8 out of 10, observing several favorable elements:

• Both short-term and long-term paths stay positive
• Several support levels are present between $7.15 and $8.39, offering clear risk management points
• Resistance is seen near the 52-week high at $9.72
• The setup quality score of 6 indicates a reasonable consolidation shape has developed

View the complete technical analysis report for full support and resistance levels, volume study, and specific trade setup ideas.

Strategic Meaning for Growth Investors

For investors using Minervini-type plans, LXU offers an instructive example of trend tracking joined with growth momentum. The stock's technical formation indicates it is in a Stage 2 climb based on Weinstein stage analysis, often the most rewarding period for trend trackers. The mix of good moving average order, closeness to new highs, and sound relative performance forms a positive risk-reward scenario when joined with suitable position sizing and stop-loss methods.

The growth measurements give fundamental proof that the technical health is backed by bettering business results. The rising changes in analyst projections point to increasing belief in the company's future, while the earnings surprise history shows steady outperformance compared to forecasts.

Finding Comparable Possibilities

Explore more high-growth momentum stocks meeting the Minervini Trend Template criteria through our specific screening tools. This process methodically finds companies displaying both technical health and fundamental growth attributes, giving a structured way to approach growth investing.

Disclaimer: This analysis is for informational and educational purposes only and does not constitute investment advice. All investments carry risk, and past performance is not indicative of future results. Conduct your own research and consult with a qualified financial advisor before making any investment decisions. Please read our full disclaimer and terms of use for complete understanding of our obligations.