Stocks To Buy And Watch: 60% Year-To-Date Rally For LiveRamp Driven By Recovery In Digital Ads

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Leading digital advertising player LiveRamp (RAMP) is one of IBD’s top stocks to buy and watch, as RAMP stock scored a breakout recently.


With lots of bullish trading volume and excellent IBD ratings, LiveRamp’s breakout looks strong. Shares moved above a 36.73 flat-base buy point Dec. 21, after jumping more than 5.6% in strong volume. The stock remains close to its buy point and is within a 5% buy zone.

In early November, RAMP stock got a 20% boost following a strong earnings report. From there, shares pulled back slightly, but found support at their 21-day exponential moving average before forming the current base.

Another positive is that the base has formed entirely above its 50-day line.

Stocks To Buy: High Ratings

With a 97 Composite Rating, a best-possible 99 Earnings Per Share Rating and a 94 Relative Strength Rating, LiveRamp checks several boxes both fundamentally and technically of top stocks to buy and watch. The stock also shows solid institutional support, with an Accumulation/Distribution Rating of A-.

However, investors should note the stock’s daily average dollar volume is slightly below the ideal $20 million to $25 million range. LiveRamp’s daily average dollar volume currently sits at around $18.8 million.

LiveRamp is a leading data onboarding firm, which means it helps companies migrate their external data into a digital format by matching it with online identifiers. The data then can be optimized for use in paid advertising and marketing. Such data might include customer information, transaction records and more.

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LiveRamp’s RampID is a leading solution for targeting and measuring the effectiveness of ads. Meanwhile, other products like Safe Haven have been tapped in major privacy initiatives by companies like Amazon Web Services and Google’s Pair over the past year.

The Low Point For RAMP Stock

RAMP stock reached a low of 15.62 in November 2022, when many tech stocks were struggling amid the 2022 market correction. But the stock has clawed back much of its prior gains in 2023, with a rise of nearly 60%. The company has posted several quarters of strong year-over-year earnings and sales growth, thanks to a recovery in digital advertising.

Earnings growth of 480% and 95% per share in the two most recent quarters is impressive, especially following year-over-year losses throughout 2022, which helps make it one of the top stocks to buy.

Revenue growth has been more mild, with increases of 8% and 9% in the two most recent quarters.

In a recent news release, Chief Executive Scott Howe said: “We had our best new logo quarter in two years, including the addition of multiple Fortune 500 customers, demonstrating the traction our Data Collaboration Platform has with marketers looking to more fully leverage their first-party customer data across the digital advertising ecosystem.”


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