Fuel Tech, Inc. (FTEK) – Buy Target $1.43 Sell Target $1.90

Fuel Tech, Inc. provides boiler optimization, efficiency improvement, and air pollution reduction and control solutions to utility and industrial customers worldwide. It operates through Air Pollution Control Technology and FUEL CHEM Technology segments. The Air Pollution Control Technology segment offers technologies to reduce nitrogen oxide (NOx) emissions in flue gas from boilers, incinerators, furnaces, and other stationary combustion sources by low and ultra-low NOx burners; over-fire air systems; NOxOUT and HERT selective non-catalytic reduction systems; advanced selective catalytic reduction (SCR) systems; NOxOUT CASCADE and NOxOUT-SCR processes; ULTRA technology; ammonia injection grid and graduated straightening grid systems; and flue gas conditioning systems. 

Annual EPS Growth – Companies with annual earnings growth of more than 20% are more likely to become leaders in up trending markets. While 20% Annual EPS growth is the minimum you should look for, don’t be afraid to seek even better results. Studies have shown that the greatest winners in the past 30 years had an average 30% annual EPS growth rate when they started their strong up trends. You also can look for three straight years of rising EPS growth, with an average of at least 25%. These performance results often imply that a company is growing fast even if the general economy is slowing down or even in recession. 

The current Annual EPS Growth for Fuel Tech Inc is 500% which is greater than the 30% average found is strong trending, fundamentally sound companies.

Quarterly EPS Growth – Outstanding earnings growth in the most recent quarters can be the single most important trait that identifies winners before they start their major price advances. Generally, the bigger the earnings growth, the better. Specifically, look for a company’s earnings per share up at least 25-30% vs. the year-ago level in the most recent quarter or two. Gains of 50%, 100% or more are typical of strong market leaders even before they make their huge price moves. There’s really nothing magic about this connection. Successful companies generate the strongest profit gains, regardless of the economic cycle. Even during periods when corporate profits are weak in general, you still find standouts that achieve massive earnings growth. 

The current Quarterly EPS Growth for Fuel Tech Inc is 157.14% which is greater than the 25% average found is strong trending stocks even during or before huge price moves.

Quarterly Sales growth – A company’s annual and quarterly rate of increase in revenues (sales). A measure of growth and success as long as it is accompanied by an equally strong rate of increase in earnings per share. You want to see both in a potential investment. A company’s quarterly EPS gain should be supported by an increase in revenue (sales) of at least 25% or at least by an acceleration in sales growth in the past few quarters. You also should watch out for earnings growth that comes amid falling sales. Companies with declining revenue often boost their EPS results through layoffs or other cost cuts, especially in an uncertain economic environment. But this isn’t a sustainable approach, and it’s definitely not as desirable as profit gains that come from higher revenue. Recent quarterly sales results are more critical when it comes to researching stocks. 

The current Quarterly Sales Growth for Fuel Tech Inc is 35.65% which is greater than the 25% average found is strong trending stocks. 

Trade Setup

Buy Target $1.43Sell Target 1 $1.60
Trailing Stop 20%Sell Target 2 $1.90

X