Applying Mark Minervini’s growth stock checklist to TG THERAPEUTICS INC (NASDAQ:TGTX)

In this article we will dive into TG THERAPEUTICS INC (NASDAQ:TGTX) as a possible candidate for growth investing. Investors should always do their own research, but we noticed TG THERAPEUTICS INC showing up in our Minervini growth screen, which makes it worth to investigate a bit more.

Checking the Minervini Trend Template.

TGTX 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)

Understanding TGTX's High Growth Momentum Score

To evaluate a stock's growth potential, ChartMill utilizes a High Growth Momentum Rating (HGM) on a scale of 0 to 10. This assessment considers various growth and profitability aspects, like EPS and revenue growth, accelleration, surprises and revisions. TGTX has achieved a 6 out of 10:

Earnings Momentum

• With a favorable trend in its quarter-to-quarter (Q2Q) earnings per share (EPS), TGTX highlights its ability to generate increasing profitability, showcasing a 250.0% growth.
• The earnings per share (EPS) growth of TGTX is accelerating: the current Q2Q growth of 250.0% is above the previous quarter Q2Q growth of -97.26%. Earnings momentum and acceleration are key for high growth systems.
• Over the past year, TGTX has demonstrated 1.0K% growth in EPS, signifying its positive financial trajectory and potential for future profitability.
• TGTX has achieved significant quarter-to-quarter (Q2Q) revenue growth of 146.0%, signaling its ability to capture market opportunities and drive top-line expansion. This growth underscores the company's effective execution and its potential for continued success.
• TGTX shows accelerating Sales growth: when comparing the current Q2Q growth of 146.0% to the previous quarter Q2Q growth of -49.41%, we see the growth rate improving.
• The 1-year revenue growth of TGTX (40.8%) has been strong, reflecting the company's ability to generate consistent sales growth. This growth suggests the company's ability to meet customer needs and expand its market share.
• Over the past 3 months, analysts have adjusted their EPS Estimate for TGTX with a 40.36% change. This highlights the evolving outlook on the company's EPS potential.

Financial Strength & Profitability

• With a favorable trend in its operating margin over the past year, TGTX demonstrates its ability to enhance profitability through efficient operations. This growth reflects the company's focus on optimizing its cost structure.
• TGTX has experienced growth in its profit margin over the past year, reflecting improved operational performance.
• The Return on Equity (ROE) of TGTX stands at 10.52%, reflecting the company's strong profitability and effective utilization of shareholder equity. This metric signifies the company's ability to generate returns for its investors.
• Maintaining a Debt-to-Equity ratio of 1.1, TGTX demonstrates a conservative financial approach. This signifies the company's focus on minimizing debt burdens while preserving a solid equity position.

Institutional Confidence & Market Strength

• With institutional shareholders at 63.58%, TGTX demonstrates a healthy ownership distribution. This reflects a mix of institutional and individual investors, creating a market environment that may foster increased trading activity and price discovery.
• TGTX has maintained a healthy Relative Strength (RS) over the analyzed period, with a current 98.75 rating. This demonstrates the stock's ability to outperform its peers and indicates its competitive positioning.

How do we evaluate the setup for TGTX?

ChartMill assigns a Setup Rating to every stock to determine the degree of consolidation. This rating, ranging from 0 to 10, is updated daily and evaluates various short-term technical indicators. TGTX currently holds a 3 as its setup rating, suggesting a particular level of consolidation in the stock.

Although TGTX has an excellent technical rating, it does not present a decent entry opportunity at the moment. Price movement has been a little bit too volatile to find a nice entry and exit point. It is probably a good idea to wait for a consolidation first.

For an up to date full technical analysis you can check the technical report of TGTX

Final Thoughts

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

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.