At Home Group Inc. [NYSE:HOME] prices rallied 1.30% on Wednesday.
With a current price of $15.05, HOME is active in the Specialty Retail industry and it looks to be on-track for a five-day run of 4.21%.
In addition, HOME’s high over the last year is $23.92 and the low is $1.20. Over the last two 52 weeks, the company is trading 51.32%, while the S&P 500 is trading 0.42%.
Wait and see
Holding a Market Cap of $941.53 million, At Home Group Inc. has seen a trading range over the last year of $1.20-$23.92.
For the last five days, HOME is up from its last closing price. The average shares trading hands each day is 3.81M, with average 10-day volume coming in at 2.3 million.
Using a Force Index Indicator is a good way to look at how strong actual buying and selling pressure is for HOME. When we apply the Elder Force Index to At Home Group Inc., we are seeing an Elder Force Indicator number of 229941.61.
Recent Performance
The recent performance of the stock is another area that can tell traders how to proceed. HOME is presenting an interesting case. This can be seen in the Forward P/E ratio, which currently stands at 10.05. Moreover, the company’s enterprise value has gone from $2.77B to $1.97B quarter-over-quarter. Obviously, the company is heading in the wrong direction, but there are still opportunities for growth in the sector.
In the last quarter, HOME made a profit of 196.13 million. At Home Group Inc. also saw quarter revenue growth year over year of 17.08%. In addition, the company has operating cash flow of $328.69 million.
Technical Analysis
Looking at popular technical indicators, the company’s 5-day moving average is 14.66 compared to the 50-day moving average of 16.53. So, traders might want to tread carefully if they are going to bid.
The Relative Strength Index or RSI is an indicator ranging between 0 and 100 that traders use to determine if a stock is “overbought” or “oversold.” A strong uptrend tending to reach into the “overbought” status is above 70, while a downward trend will stay around the 30 mark. HOME currently holds a 9-day RSI of 51.37%, while 100-day RSI stands at 55.24%.
Another indicator we believe is worth keeping tabs on is the Moving Average Convergence Divergence or MACD. Similar to the concept of the Force Index — on the basis of price momentum — the MACD gives traders a tool to measure the turning point of a stock even during rapid fluctuations in price. Buy and sell signals are determined by a stock’s relation to the zero line, so if a stock is above a zero line for many weeks it might be a “buy.” On the other hand, if a stock is below the zero line consistently, it might be one to stay away from. Also, if the MACD line reaches a peak and dips, its momentum may be waning. HOME’s 9-day MACD is 0.39 and the company’s 100-day MACD stands at 4.36.
Inside Moves
Another area that is important to analyze is insider moves and majority shareholders. While this is not always an error-free way to tell what the future holds for a stock, you can maybe gather important information from reading the tea leaves about who is buying and selling.
The major holders for this stock are 7.16% by insiders and 109.18% by institutions. Regarding institutional holdings, CAS Investment Partners, LLC owns 16.23%, while the second top holder, Prentice Capital Management, LP, currently owns 7.50%.
Over the last six months, insiders have bought 13,526 with the most recent transaction from Crevoiserat Joanne C., Director, with a purchase at price 14.05 per share.
Conclusion
Overall, the recommended rating for HOME is Moderate Buy. Currently, the company has 8 analysts watching the stock, and the average quarterly earnings estimate is 0.35. Quarterly revenue estimates are averaging 403.82M with the high estimate reaching 411.2M and the low at 390.2M.
To review, the current 1-year target estimate is sitting at 19.50, while the current price 15.05. Based on this, we expect the stock to rise considering the aforementioned fundamentals.
