John Bean Stock Hits 80-Plus Relative Strength Rating Benchmark After Posting What Could Be Turnaround Quarter Earnings, Revenue

Diversified manufacturer John Bean Technologies (JBT) hasn’t put up spectacular numbers lately, with one huge exception — its stock price recently hit an all-time high. When building your watchlist, look for stocks with an 80 or higher Relative Strength Rating, a gauge of a stock’s price strength. John Bean stock that just reached that mark, and is now earning a score of 82.

It’s a significant rating bump up because market research shows that the market’s winners tend to have an 80 or better RS Rating as they launch their biggest runs. John Bean Technologies has a deep moat around its product lines. It makes food processing machinery and ground-based airport equipment for the air transportation industry.

John Bean Stock Hit New High Recently

On Sept. 23, John Bean stock hit an intraday high of 161.05, its highest price ever, after it earlier reported turnaround earnings and revenue results for the prior quarter.

Among other key ratings, John Bean stock also has an 82 Composite Rating.

IBD’s Composite Rating combines five separate proprietary ratings of fundamental and technical performance into one easy-to-use rating. The 82 rating puts John Bean among the top 18% for this metric. It could use work though; the best growth stocks have a Composite Rating of 90 or better.

Additionally, Chicago-based John Bean stock has a strong B+ Accumulation/Distribution Rating, indicating that institutional investors are moderately heavy buyers of its stock. One yellow flag is its 64 EPS Rating. Although it’s outperforming 64% of companies on profit growth, top stocks have a higher number. Still, after a series of quarters in which earnings shrank amid the pandemic, last quarter John Bean reported a modest 9% increase in EPS, perhaps indicating a turnaround.

Regarding top and bottom line numbers, John Bean Technologies has posted improving EPS numbers over the last three quarters, rising from a 32% year-over-year drop to $1.02 EPS, to an 11% dip to 90 cent, and then a 9% hike to $1.19. Top line growth has also moved higher over the same time frame. In its most recent quarter the company reported a 16% increase in sales to $475.5 million. The company is expected to release its next quarterly numbers on or around Oct. 27.

Peers In Industrial Group

John Bean Technologies earns the No. 17 rank among its peers in the Machinery-General Industrial industry group. Kadant (KAI) and Kornit Digital (KRNT) are among the group’s highest-rated stocks.

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John Bean stock broke out earlier, and is now just 3% below the prior 151.74 entry from a consolidation. It’s important to note that the most recent pattern is a later-stage base. Such bases can succeed but are more prone to fail than early stage bases.

When looking for the best stocks to buy and watch, one factor to watch closely is relative price strength.

IBD’s unique RS Rating measures technical performance by using a 1 (worst) to 99 (best) score that shows how a stock’s price action over the last 52 weeks matches up against the rest of the market.


IBD Stock Rating Upgrades: Rising Relative Strength

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