Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Supervalu - Barchart's Chart Of The Day

|Includes: SUPERVALU Inc. (SVU)

The Chart of the Day belongs to Supervalu (NYSE:SVU). I found the stock by sorting today's New High list for new high frequency in the last month, then used the Flipchart feature to find a chart I liked. Since the Trend Spotter signaled a buy on 5/12 the stock gained 28.69%.

SVU is one of the nation's largest supermarket retailer and largest food distributor. The company conducts its retail operations under three principal store formats: price superstores, under such retail banners as Cub Foods, Shop `n Save, Shoppers Food Warehouse, Metro and biggs. Also, the company sells food and non-food products at wholesale throughout the United States to retail food stores, mass merchants and through other logistics arrangements. The company's plans include growing its retail operations through new store development and acquisitions.

The status of Barchart's Opinion trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 10 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 web site when you read.

Barchart technical indicators:

  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 13 new highs and up 16.58% in the last month
  • Relative Strength Index 74.49%
  • Barchart computes a technical support level at 9.19
  • Recently traded at 9.42 with a 50 day moving average of 8.06


Fundamental factors:

 

  • Market Cap $2.45 billion
  • P/E 14.71
  • Revenue expected to grow 2.40% this year and another .50% next year
  • Earnings estimated to increase 10.30% this year, an additional 4.70% next year and continue to increase at an annual rate of 5.25% for the next 5 years
  • Wall Street analysts issued 1 strong buy, 1 buy, 9 hold and 2 under perform recommendations on the stock

Grocery stocks usually move slowly so I'd use the 100 day moving average as an exit point.