- Red Violet (RDVT) demonstrates strong price momentum, with its shares up more than 40% over the past year.
- RDVT stock is trading at a new all-time high.
- Shares maintain a 100% “Buy” technical opinion from Barchart.
- Despite being seen as slightly overvalued by Morningstar, RDVT maintains robust technical support and broad investor interest, powering its current upward trajectory.
Today’s Featured Stock
Valued at $1.18 billion, Red Violet (RDVT) is a software and services company. It specializes in big data analysis, providing cloud-based, mission-critical information solutions to enterprises.
What I’m Watching
I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals and superior current momentum. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. RDVT checks those boxes. The Trend Seeker issued a new “Buy” signal on July 29. Since then, the stock has gained 7.72%.
Barchart’s Technical Indicators for Red Violet
Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.
Red Violet scored an all-time of $74.82 on Aug. 28.
- Red Violet has a Weighted Alpha of 54.54.
- RDVT has a 100% “Buy” opinion from Barchart.
- The stock has gained 42.95% over the past 52 weeks.
- Red Violet has its Trend Seeker “Buy” signal intact.
- The stock recently traded at $73.02 with a 50-day moving average of $66.52.
- RDVT had 6 new highs and gained 4.91% in the last month.
- 60-month beta of 1.83.
- Relative Strength Index (RSI) is at 61.09.
- There’s a technical support level around $72.24.
Don’t Forget the Fundamentals
- $1.18 billion market capitalization.
- 62.61x trailing price-earnings ratio.
- Revenue is projected to grow 18.34% this year and another 13.63% next year.
- Earnings are estimated to increase by 25.77% this year and an additional 5.20% next year.
Analyst and Investor Sentiment on Red Violet
- The Wall Street analysts followed by Barchart give the stock 2 “Strong Buy” and 1 “Hold” opinions with price targets between $73 and $85.
- Value Line rates the stock “Above Average.”
- Morningstar thinks the stock is 6% overvalued with a fair value of $68.77.
- CFRA’s MarketScope rates the stock as “Buy.”
- 5,000 investors are following the stock on Seeking Alpha, which rates it a “Strong Buy.”
- TipRanks’ analysts’ price targets are between $73 and $81 with a consensus price target of $77.
- Short interest is 3.72% of the float with 3.24 days to cover the float.
The Bottom Line on Red Violet
While the valuation is a little high, the company is profitable, has great price momentum, and is gathering positive analyst commentary.
Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculate should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.
On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.