Search Party for the Next Monster Healthcare Stock

Evolent Health, a company which has fairly recently transitioned into a value-based care business model, could easily be the next Tabula Rasa (TRHC), meaning it could be the next sleeper in the healthcare sector to enjoy a monstrous rally seemingly under-the-radar of most market players. 

Since July 2017, for example, TRHC appreciated from a $15 handle to a recent high just over $70. 

And seeing as EVH has adjusted with the times, they may very well be in the proverbial sweet spot to meaningfully break the long, sideways slog the stock has been in since its 2015 IPO. 

On the EVH daily chart, below, breaking and holding back over $24 will be the first big step for bulls, followed by $27.50 to ignite a powerful fresh leg higher. 

Much like TRHC, we know that EVH has much less attention from traders than some of the more chic tech/software IPOs of late, which suits me just fine in terms of avoiding crowded hot money trades capable of unwinding quickly. 

Either way, Evolent looks to be a firm worth doing some further research on to see if the bull case truly holds up to the scrutiny of the market into the back half of 2018. 

Elsewhere, much of tech looks to be backing and filling a chunk of yesterday's gains while the big banks in the XLF try to sustain their recent rotation off correction lows.