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Cerner is making its way through a rather sloppy 39-week base. It finished Tuesday 13% short of its high. The stock's Relative Strength line is also near a new high, which is a good sign.
The firm makes software and systems for hospitals and managed care firms.
Cerner's Accumulation/Distribution Rating is an A, indicating institutional buyers have been moving into the stock over the last 13 weeks. Mutual funds, including 24 which carry A ratings, own 22% of the shares outstanding. The firm's management owns 22%.
After a rough time in 1999, Cerner has weighed in with earnings growth rates of 75% to 1,100% during the last five quarters. In all, profit rose 338% last year. The 18 analysts surveyed by First Call expect it to rise 58% in 2001.
Sales growth has ranged from 29% to 39% over the last four ...