Pennant Finds Profits In Senior Healthcare And Hospice

The Chart of the Day belongs to the senior healthcare and hospice company Pennant Group (PNTG) . I found the stock by using Barchart's powerful screening functions to find stocks with the highest technical buy signals, highest Weighted Alpha, superior current momentum and having a Trend Seeker buy signal then used the Flipchart feature to review the charts for consistent price appreciation. Since the Trend Seeker signaled a buy on 7/1 the stock gained 53.82%.

(Click on image to enlarge)

PNTG Price vs Daily Moving Averages

The Pennant Group, Inc. provides healthcare services in the United States. It operates in two segments, Home Health and Hospice Services, and Senior Living Services. The company offers home health services, including clinical services, such as nursing, speech, occupational and physical therapy, medical social work, and home health aide services; and hospice services comprising clinical care, education, and counseling services for the physical, spiritual, and psychosocial needs of terminally ill patients and their families. It also provides senior living services, such as residential accommodations, activities, meals, housekeeping, and assistance in the activities of daily living to seniors who are independent or who require some support. The company operates home health, hospice, and home care agencies, as well as senior living communities throughout Arizona, California, Colorado, Idaho, Montana, Nevada, Oklahoma, Oregon, Texas, Utah, Washington, Wisconsin, and Wyoming. The Pennant Group, Inc. was incorporated in 2019 and is headquartered in Eagle, Idaho. 

Barchart's Opinion Trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 20 minutes and can therefore change during the 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.

Barchart Technical Indicators:

  • 100% technical buy signals
  • 230.61+ Weighted Alpha
  • 215.47% gain in the last year
  • .90- 60 month Beta
  • Trend Seeker buy signal
  • Above its 20, 50 and 100 day moving averages
  • 3 new highs and up 2.89% in the last month
  • Relative Strength Index 67.38%
  • Technical support level at $35.25
  • Recently traded at $35.94 with 50 day moving average of $31.41

Fundamental Factors:

  • Market Cap $1.08 billion
  • P/E 51.61
  • Revenue expected to grow 24.60% this year and another 16.00% next year
  • Earnings are estimated to increase 26.00% this year, an additional 16.30% next year and continue to compound at an annual rate of 41.00% for the next 5 years

Analysts and Investor Sentiment -- I don't buy stocks because everyone else is buying but I do realize that if major firms and investors are dumping a stock it's hard to make money swimming against the tide:

  • Wall Street analyst gave 2 strong buy, 1 buy and 1 hold opinion on the stock
  • Analysts' price targets are between $26 and $34
  • Value Line gove the stock its average rating of 3
  • CFRAs MarketScope rates the stock a strong buy
  • MorningStar give the stock its average rating of 3 with a Fair Value of 32.10 or 11% over valued
  • 2,650 investors monitor the stock on Seeking Alpha

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 speculative. 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 and reevaluate your stop losses at least on a weekly basis.


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.


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