One more ratio Chart: $HWKN vs $XLB

Some say ‘there is no bull market without materials and industrials. Today we looked at a specialty chemicals and material company called Hawkins Inc. This stock is a great compounder and a huge momentum play. The stock has returned more than 500% to its investor. This small material cos., which works in the field of specialty chemicals and provides industrial solutions for waste and water management has outperformed the Select Sector Materials sector ETF (XLB).

IN the ratio chart of HWKN vs XLB we see the bullish momentum in favor of HWKN and its relative outperformance against the Material sector. Recently this momentum has stalled, and the Ratio is below the 20-Day, 50-Day and 100-Day SMA and just hanging above the 200-Day SMA. If this holds, we can accumulate HWKN at this level as one of the strongest momentum stocks within the materials complex.