Investors are betting that recovery from the pandemic will continue and visits to vacations spots will rise. On Wednesday, Hilton Grand Vacations (HGV) earned an upgrade to its Relative Strength (RS) Rating, from 87 to 91, as Hilton Grand stock hovers near an all-time high.
The 91 RS Rating means that Hilton Grand stock has outperformed 91% of all stocks over the past year. Top-performing stocks typically have an 80 or better RS Rating in the early stages of their moves.
Better Days Ahead For Hilton Grand Stock?
Among other key ratings, Hilton Grand stock has a 69 Composite Rating, of a best-possible 99. Its EPS Rating, dragged down by slow vacation visits in 2020, is just 38. However, if its latest earnings are an indication, it has better days ahead.
Hilton Grand Vacations saw both earnings and sales growth rise last quarter. After three quarters or lower earnings than the year-earlier period, earnings per share soared 121% last quarter, while revenue surged 172% to $334 million. Hilton Grand stock bottomed at 8.28 in late March 2020 and has since risen about 457% to close at 46.14 Wednesday, up more than 4% for the day. It’s trading near its all-time high of 48.16, set at the end of May this year.
Hilton Grand Vacations holds the No. 6 rank among its peers in the Leisure-Services industry group. Warner Music Group (WMG), RCI Hospitality (RICK) and Endeavor Group (EDR) are among the top 5 highly rated stocks in the group.
Although some of its key ratings need work, Hilton Grand stock is a watchlist candidate. It’s working on a cup-without-handle with a 48.26 entry. See if the stock can break out in volume at least 40% higher than normal.
As you try to find the best stocks to buy and watch, keep a close on eye on relative price strength. IBD’s unique Relative Strength Rating measures share price action with a 1 (worst) to 99 (best) score. The score shows how a stock’s price performance over the last 52 weeks holds up against all the other stocks in our database.
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