Pacific Biosciences of California Inc. [NASDAQ:PACB]’s prices rallied on Thursday.
Other data for the company is as follows:
- Stochastic %K of 91.64
- Weighted Alpha of 234.2
Day traders should note that the company’s next earning date is 10/29/2020. The company has price per sales of 24.04 and price per cash flow of 134.92.
Wait and see
Holding a Market Cap of $1.98 billion, Pacific Biosciences of California Inc. has seen a trading range over the last year of $2.20-$13.21.
For the last five days, PACB is up from its last closing price. The average shares trading hands each day is 3.24M, with average 10-day volume coming in at 6.62 million.
Using a Force Index Indicator is a good way to look at how strong actual buying and selling pressure is for PACB. When we apply the Elder Force Index to Pacific Biosciences of California Inc., we are seeing an Elder Force Indicator number of 359001.72.
Recent Performance
The company’s enterprise value has gone from $434.68M to $483.67M quarter-over-quarter. This could be an inflection point for the company, but either way we believe you should be adding them to your watchlist.
In the last quarter, PACB made a profit of 6.61 million. Pacific Biosciences of California Inc. also saw quarter revenue growth year over year of 15.60%. In addition, the company has operating cash flow of $16.13 million.
Technical Analysis
Looking at popular technical indicators, the company’s 5-day moving average is 12.58 compared to the 50-day moving average of 8.28. So, we are clearly seeing an upward trajectory here.
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. PACB currently holds a 9-day RSI of 86.07%, while 100-day RSI stands at 70.25%.
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. PACB’s 9-day MACD is 1.02 and the company’s 100-day MACD stands at 7.08.
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 4.33% by insiders and 87.94% by institutions. Regarding institutional holdings, Blackrock Inc. owns 8.64%, while the second top holder, Bellevue Group AG, currently owns 5.42%.
Over the last six months, insiders have sold 228,632 with the most recent transaction from Hunkapiller Michael, CEO & President, with a sell at price 6.44 per share.
Conclusion
Overall, the recommended rating for PACB is Moderate Buy. Currently, the company has 5 analysts watching the stock, and the average quarterly earnings estimate is -0.13. Quarterly revenue estimates are averaging 20.35M with the high estimate reaching 20.7M and the low at 20M.
To review, the current 1-year target estimate is sitting at 8.75, while the current price 13.06. Based on this, we expect some pullback on the stock over time given our above analysis.
