Does ORGANOGENESIS HOLDINGS INC (NASDAQ:ORGO) align with Mark Minervini’s trading strategy?

Growth investors are looking for stocks showing high revenue and EPS growth. We will have a look here to see if ORGANOGENESIS HOLDINGS INC (NASDAQ:ORGO) is suited for growth investing. Investors should of course do their own research, but we spotted ORGANOGENESIS HOLDINGS INC showing up in our Minervini growth screen, so it may be worth spending some more time on it.

ORGO passes the Minervini Trend Template check!

ORGO checks all the boxes when evaluating the Minervini Trend Template. This is a set of basic technical criteria to identify stocks in strong uptrends:

• ✔ Relative Strength is above 70.
• ✔ Current price is within 25% of it's 52-week high.
• ✔ Current price is at least 30% above it's 52-week low.
• ✔ The current price is above the 50-, 150- and 200-day SMA price line.
• ✔ The SMA(200) is trending upwards.
• ✔ The SMA(150) is above the SMA(200)
• ✔ The SMA(50) is above the SMA(150) and the SMA(200)

Some of the high growth metrics of ORGO highlighted

ChartMill assigns a High Growth Momentum Rating (HGM) to every stock. This score ranges from 0 to 10 and evaluates the different growth and profitability aspects, including accelleration, surprises and revisions. ORGO scores a 4 out of 10:

Earnings Momentum

• ORGO has demonstrated consistent growth in its earnings per share (EPS) from one quarter to another (Q2Q), with a 1.0K% increase. This indicates improving financial performance and the company's effective management of its operations.
• The earnings per share (EPS) growth of ORGO is accelerating: the current Q2Q growth of 1.0K% is above the previous quarter Q2Q growth of 361.0%. Earnings momentum and acceleration are key for high growth systems.
• EPS acceleration happened 2 quarters in a row.
• Over the past year, ORGO has demonstrated 325.0% growth in EPS, signifying its positive financial trajectory and potential for future profitability.
• ORGO has demonstrated strong quarter-to-quarter (Q2Q) revenue growth of 27.1%, reflecting its ability to generate consistent increases in sales. This growth highlights the company's effective market positioning and its potential for continued success.
• The sales growth of ORGO is accelerating: the current Q2Q growth of 27.1% is above the previous quarter Q2Q growth of 6.15%. Sales momentum and acceleration are key for high growth systems.

Financial Strength & Profitability

• With a favorable trend in its operating margin over the past year, ORGO demonstrates its ability to enhance profitability through efficient operations. This growth reflects the company's focus on optimizing its cost structure.
• With a Debt/Equity ratio of 0.0, ORGO maintains a solid financial position with controlled leverage.

Market Strength & Institutional Confidence

• With 50.15% of the total shares held by institutional investors, ORGO showcases a healthy distribution of ownership. This suggests a mix of institutional and retail investors, fostering a dynamic market for the stock.
• The Relative Strength (RS) of ORGO has consistently been strong, with a current 97.58 rating. This indicates the stock's ability to exhibit relative price outperformance and reflects its competitive strength.

How does the Setup look for ORGO

ChartMill also provides a Setup Rating for each stock. This rating, ranging from 0 to 10, assesses the extent of consolidation in the stock based on multiple short-term technical indicators. Currently, ORGO has a 6 as its setup rating:

Besides having an excellent technical rating, ORGO also presents a decent setup pattern. Prices have been consolidating lately. There is very little resistance above the current price. Another positive sign is the recent Pocket Pivot signal.

Check the latest full technical report of ORGO for a complete technical analysis.

Concluding

Our High Growth Momentum + Trend Template screen will find you more ideas which meet the Minervini criteria.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.