Zumiez Inc. : Technical rebound is forming
By Etienne Veber
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
US$33.98 | US$0 | US$32.1 | -100% |
According to Surperformance© ratings, the company constitutes an opportunity for a trading strategy. Indeed, it usually posts better-than-expected financial statements as in 2014 and the enterprise valuation conciliates with its visibility. Moreover, the VE/Sales ratio is at 1.14 on the 2016 estimates, showing the low valuation of the company.
After several weeks of horizontal fluctuations within the mid-term range USD 37.25/41.4 range, the stock has broke-down the support of this area and is now near the mid-term support at USD 32.4.
This excess fall-down should be stopped by this level and offers a pertinent entry point for the most aggressive investors.
In this case, the target will be set at USD 37.24, corresponding to the last support.
The stop-loss will be triggered below the USD 32.4.