I’m currently looking at HFF, Inc (HF) as it meets almost all of the CANSLIM criteria and is sporting a very nice cup & handle pattern.
|YoY Net Income Growth Rate||20%||35%|
|YoY Sales Growth Rate||25%||26%|
|EPS Growing past 3 years?||Yes||Yes|
|EPS Estimate Higher than last year?||Yes||Yes|
|3yr EPS Growth Rate||25%||50%|
|Net Income Growth Rate (5-Year Average) OPTIONAL||25%||150%|
|Return on Equity (5-year average)||17%||30%|
|Within 10% of High||Yes||Yes|
|New Product, Management, etc?||Yes||Lots of closed deals in Dec, 2014|
|12-month relative strength percentile||80%||54%|
|6-month relative strength percentile||80%||34%|
|3-month relative strength percentile||80%||85%|
The Cup & Handle is well formed with declining volume in the handle.
My strategy is to buy at $37.25 if volume is 25-50% higher than average on the breakout day. My stop will be @ $34.64 (7%) and my limit is $44.70 unless the stock reaches that target within a couple of weeks, in which case I will hold longer.