REVOLVE GROUP INC (NYSE:RVLV) – A Strong Growth Stock Showing Technical Breakout Potential

REVOLVE GROUP INC (NYSE:RVLV) was identified by our screener as a strong growth stock with a favorable technical setup. The company combines solid fundamental growth metrics with improving price action, making it worth a closer look.

Growth Fundamentals

• Revenue Growth: RVLV reported a 9.1% year-over-year revenue increase, with an average annual growth rate of 13.46% over the past few years. Future revenue is expected to grow at 14.87% annually.
• Earnings Expansion: Despite recent volatility, EPS surged 102.94% in the past year, and analysts forecast a 30.57% annual EPS growth moving forward.
• Profitability: The company maintains a strong gross margin of 52.43%, outperforming 81% of its peers in the specialty retail sector.

Financial Health

• No Debt: RVLV carries no debt, providing financial flexibility and reducing risk.
• Liquidity: A current ratio of 2.66 and quick ratio of 1.71 indicate strong short-term solvency.
• Altman-Z Score: A high score of 6.65 suggests minimal bankruptcy risk, ranking in the top 7% of its industry.

Technical Setup

• Recent Momentum: The stock has gained 13.24% over the past three months, with the 20-day and 50-day moving averages trending upward.
• Support Levels: Key support lies between $20.05 and $20.52, backed by multiple trendlines and moving averages.
• Resistance Breakout: A push above $22.57 could signal further upside, with recent price action consolidating near this zone.

For a deeper dive, review the full fundamental analysis or the technical report.

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