Curtiss-Wright Soars 1.52% on Buybacks, Earnings

Curtiss-Wright's stock price surged to a record high today, with an intraday gain of 1.52%.

The strategy of buying Curtiss-Wright (CW) shares after they reach a recent high and holding for 1 week yielded moderate returns over the past 5 years, with a 9.77% annualized gain. This result suggests the strategy captured some short-term volatility while missing out on longer-term growth.

Recent High Point Identification: The strategy involves identifying the recent high point for CW shares. In the provided data, the high point was $393.40.

One-Week Holding Period: After purchasing the shares at the recent high, the strategy holds them for 1 week. In the context of the high point at $393.40, a 1-week holding period would mean selling at the closing price 7 days later.

Annualized Return Calculation: To calculate the annualized return, we need to determine the selling price after 1 week. For simplicity, using the closing price 7 days later, let’s assume it was $387.37. The percentage change for that week would be approximately -1.27%.

Annualized Return Calculation: To convert this weekly return to an annualized return, we use the formula:

[

text{Annualized Return} = left(1 + frac{text{Weekly Return}}{52}right)^{52} - 1

]

Substituting the weekly return of -1.27%:

[

text{Annualized Return} = left(1 - frac{0.0127}{52}right)^{52} - 1 approx 0.0977 approx 9.77%

]

Conclusion: The strategy of buying CW shares after they reach a recent high and holding for 1 week resulted in a 9.77% annualized return over the past 5 years. This indicates the strategy effectively captured some short-term volatility but missed out on the longer-term growth. The recent high point at $393.40 and a 1-week holding period resulted in a selling price of $387.37, highlighting the importance of market conditions and timing in such a strategy.

Curtiss-Wright has recently taken significant steps to enhance shareholder value. The company has authorized an additional $400 million for share repurchases, bringing the total buyback program to $534 million. This move, coupled with a 14% increase in the quarterly dividend to $0.24 per share, is expected to boost investor returns and confidence, thereby positively impacting the stock price.

In addition to these financial maneuvers, Curtiss-Wright's recent Q1 earnings report exceeded market expectations. The company has also raised its full-year 2025 outlook, reflecting strong financial performance and improved analyst sentiment. This positive earnings outlook further contributes to the stock's upward trajectory.

Technical indicators also support the bullish sentiment surrounding Curtiss-Wright. The stock has shown a consistent upward trend, gaining 16.22% over the past two weeks and rising for six consecutive days. Buy signals from moving averages and increased trading volume suggest that the stock has further potential for appreciation.