IAMGOLD Corp (NYSE:IAG): A Potential CAN SLIM Candidate
By Mill Chart
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IAMGOLD Corp (NYSE:IAG) is a gold mining company with operations in North America and West Africa. The company focuses on exploration, development, and production of gold and mineral resources.
The CAN SLIM investing strategy, developed by William O’Neil, combines fundamental and technical analysis to identify high-growth stocks. It focuses on companies with strong earnings growth, institutional support, and leadership in their sector. Let’s examine how IAG fits these criteria.
How IAG Meets CAN SLIM Criteria
C – Current Earnings Growth
IAG reported a 66.7% year-over-year EPS growth in its latest quarter, exceeding the CAN SLIM minimum threshold of 20%. Revenue also grew 57.9%, indicating strong business momentum.
A – Annual Earnings Growth
Over the past three years, IAG’s EPS has grown at an average rate of 122.4%, far surpassing the 25% minimum requirement. This suggests sustained profitability.
N – New Highs & Industry Leadership
IAG has shown strong price momentum, trading near its 52-week high with a relative strength (CRS) of 96.82, meaning it outperforms nearly 97% of all stocks.
S – Supply & Demand
The stock has an average daily volume of 14 million shares, ensuring liquidity. Its debt-to-equity ratio of 0.34 is manageable, aligning with CAN SLIM’s preference for financially stable companies.
L – Market Leader
IAG ranks in the top 14% of its Metals & Mining industry peers, reinforcing its leadership position.
I – Institutional Sponsorship
Institutional ownership stands at 66.1%, below the 85% threshold, suggesting room for further institutional accumulation.
M – Market Direction
The S&P 500’s short-term trend is positive, while its long-term trend remains negative. IAG’s strong technicals suggest resilience even in mixed market conditions.
Technical & Fundamental Overview
Technical Analysis
IAG scores 10/10 in technical rating, with both short and long-term trends positive. The stock is trading above key moving averages, reinforcing bullish momentum. View full technical report here.
Fundamental Analysis
IAG has a fundamental rating of 5/10, with strengths in profitability (ROE of 24.56%) and valuation (P/E of 12.85). However, financial health metrics show some concerns. See full fundamental report here.
Conclusion
IAMGOLD Corp (NYSE:IAG) exhibits several traits that align with the CAN SLIM strategy, including strong earnings growth, market leadership, and institutional interest. While its financial health has some weaknesses, its technical strength and valuation make it a candidate for further research.
