Growing Earnings and Cash Flow Have Icon Thriving

ICLR is a clinical research organization that provides services to the pharmaceutical, biotechnology, and medical device industries as well as governments and health organizations throughout the world. Its innovation and strategic acquisitions have allowed the company to expand on several fronts.

As for its finances, ICLR has a historical per-share earnings growth rate of 18.1%. It has also provided improved earnings guidance this year. Additionally, its year-over-year cash flow growth stands at 8.2%, which makes it stand out among industry peers. Over the past three to five years, ICLR’s annualized cash flow growth rate has been 31.4% while the industry average has been 13.4%.

It’s no wonder ICLR shares are up 20% this year – and they could rise more. MAPsignals data shows how Big Money investors are betting heavily on the forward picture of the stock.

Big Money Buying Up Icon Shares

Institutional volumes reveal plenty. Recently, ICLR has enjoyed strong investor demand, which we believe to be institutional support.

Each green bar signals unusually large volumes in ICLR shares. They reflect our proprietary inflow signal, pushing the stock higher:

Plenty of health care names are under accumulation right now. But there’s a powerful fundamental story happening with Icon.

Icon Fundamental Analysis

Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, ICLR has had strong sales and earnings growth:

• 3-year sales growth rate (+47.4%)
• 3-year earnings growth rate (+42.7%)

Source: FactSet

Also, EPS is estimated to ramp higher this year by +15.3%.

Now it makes sense why the stock has been powering to new heights. ICLR has a track record of strong financial performance.

Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.

Icon has been a top-rated stock at MAPsignals. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s made the rare Top 20 report multiple times in the last year. The blue bars below show when ICLR was a top pick…making the share price rise:

Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.

Icon Price Prediction

The ICLR rally isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in ICLR at the time of publication.

If you are a Registered Investment Advisor (RIA) or are a serious investor, take your investing to the next level, learn more about the MAPsignals process here.