RANGE RESOURCES CORP (NYSE:RRC) - A Strong Growth Candidate Meeting Minervini's Criteria

RANGE RESOURCES CORP (NYSE:RRC) has been identified as a high-growth momentum stock that aligns with Mark Minervini’s Trend Template. The company operates in the natural gas and oil sector, with a focus on the Appalachian region. Its technical strength and improving fundamentals make it a candidate worth examining for growth-oriented investors.

Technical Strength: Meeting Minervini’s Trend Template

RRC satisfies key technical criteria from Minervini’s strategy, which focuses on stocks in strong uptrends:

• Price Above Key Moving Averages:

  • Current price ($42.57) is above the 50-day ($37.21), 150-day ($37.13), and 200-day ($35.46) moving averages.
  • The 50-day MA is above both the 150-day and 200-day MAs, confirming bullish momentum.

• Upward-Trending Averages:

  • The 150-day and 200-day MAs are rising, reinforcing a positive long-term trend.

• Strong Relative Strength:

  • RRC’s relative strength score of 83.47 means it outperforms 83% of all stocks, a key trait for market leaders.

• Near 52-Week High:

  • The stock is trading within 2% of its 52-week high ($43.27), indicating strong momentum.

Growth Fundamentals: High Growth Momentum

Beyond technicals, RRC shows strong growth metrics:

• Earnings Growth:

  • EPS (TTM) grew 24% YoY, with recent quarterly EPS up 39% compared to the same quarter last year.
  • The company has beaten EPS estimates in all of the last four quarters, with an average beat of 12.5%.

• Revenue Expansion:

  • Quarterly sales grew nearly 40% YoY, signaling strong demand.
  • While full-year revenue declined in prior years, recent quarterly trends show improvement.

• Profit Margins:

  • Current quarterly profit margin stands at 11.4%, with stability in recent quarters.

Technical Report Summary

According to ChartMill’s technical analysis, RRC scores a perfect 10/10 for technical strength, supported by:

• A strong uptrend in both short and long-term timeframes.
• Multiple support levels, including near $38 and $35, providing downside protection.
• High liquidity, with average daily volume exceeding 3 million shares.

However, the setup rating is currently 3/10, suggesting the stock may be extended after its recent rally. Investors may want to wait for a pullback or consolidation before entering.

For a deeper look, review the full technical report here.

Our High Growth Momentum + Trend Template screener lists more stocks meeting these criteria.

Disclaimer

This is not investment advice. Always conduct your own research before making investment decisions.