Up 59% In 7 Weeks, This Biotech Leader Hits New Buy Zone

IPO stock leader Harmony Biosciences (HRMY) is just out of buy range past its latest buy point after a 59% rally in just seven weeks in the face of a volatile stock market environment. Harmony was on the IBD IPO Leaders list this past week.




X



Plymouth Meeting, Penn.-based Harmony develops therapies for patients living with rare neurological disorders. The company’s first commercial product — Wakix — is used to treat adult patients with narcolepsy. Wakix is the first and only approved treatment for patients with narcolepsy that is not scheduled as a controlled substance, according to the company.

In the first quarter, Harmony earned an adjusted 51 cents per share on sales of $85.3 million. EPS surged 89% vs. the year-ago period, while revenue jumped 43% year over year.

IPO Stock Leader’s IBD Ratings

Despite a strong quarter, the stock has a good-but-not-great 80 Earnings Per Share Rating, according to IBD Stock Checkup. The company turned profitable in 2021, so it doesn’t have a long-term profit track record, which negatively impacts the EPS Rating. Weaker EPS Ratings are often normal for newer issues. Harmony debuted in August 2020.

IBD Stock Checkup also shows that HRMY stock has a strong 96 out of 99 IBD Composite Rating.


Stock Market ETF Strategy And What To Do Next


Harmony Stock Extended From Buy Zone

On June 24, Harmony shares topped out at 52.82, more than 59% above the stock’s low price at 33.04 on May 12. During that seven-week advance, the stock broke out past a cup-with-handle’s 47.21 buy point, according to IBD MarketSmith chart analysis. The stock is just out of the 5% buy zone, which topped out at 49.57.

Bullishly, the stock’s relative strength line hit a new high on the breakout day, confirming the biotech as a new leader. Keep in mind that the struggling stock market uptrend should keep investors on the defensive. Still, Harmony Biosciences is outperforming and is a top stock to watch in today’s stock market as the health care sector shows relative strength.

Follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more on IPO stocks, growth stocks and the stock market.

YOU MAY ALSO LIKE:

Top Growth Stocks To Buy And Watch

MarketSmith: Research, Charts, Data And Coaching All In One Place

Find The Best Long-Term Investments With IBD Long-Term Leaders

Looking For The Next Big Stock Market Winners? Start With These 3 Steps

How To Research Growth Stocks: Why This IBD Tool Simplifies The Search For Top Stocks

Checkout latest world news below links :
World News || Latest News || U.S. News

Source link

The post Up 59% In 7 Weeks, This Biotech Leader Hits New Buy Zone appeared first on WorldNewsEra.

Tags :