NEW BULLISH Plays
Cantel Medical Corp. - CMN - close: 35.24 change: +0.67
Stop Loss: 34.25
Current Gain/Loss: unopened
Entry on October -- at $--.--
Listed on October 23, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 153 thousand
New Positions: Yes, see below
Why We Like It:
According to their website, "Cantel Medical Corp. is a leading provider of infection prevention and control products and services in the healthcare market."
The stock has been a very impressive performer, displaying relative strength the last few weeks. When the company reported earnings in late September CMN beat Wall Street's estimates on both the top and bottom line. Recently the Board of Directors raised their semiannual dividend by 21.6% to $0.045 (4 1/2 cents).
CMN was showing relative strength again today with a +1.9% gain. There appears to be some short-term resistance near $35.25. I am suggesting a trigger to launch small bullish positions at $35.35. If triggered our target s $39.00. We want to keep our position size small because CMN is arguably already overbought (but that tends to happen with momentum stocks).
Trigger @ 35.35 *small positions*
Suggested Position: buy CMN stock @ (trigger)