Nautilus Inc. [NYSE:NLS] shares are showing some interesting activity. The company’s daily low is at $20.77 as the high is reaching $22.15.
If readers are not familiar, Nautilus Inc. is in the Consumer Cyclical sector under the Leisure industry. This week, we are watching the stock hit price per sales of 1.72 with an earning per share of -0.26.
As a reference point, the S&P 500 is trading 0.5% over the last 52 weeks, while NLS stock is trading 1537.69%.
The Price is right
Holding a Market Cap of $644.24 million, Nautilus Inc. has seen a trading range over the last year of $1.20-$22.15.
For the last five days, NLS is up from its last closing price. The average shares trading hands each day is 2.13M, with average 10-day volume coming in at 2.11 million.
Using a Force Index Indicator is a good way to look at how strong actual buying and selling pressure is for NLS. When we apply the Elder Force Index to Nautilus Inc., we are seeing an Elder Force Indicator number of 1887316.93.
The recent performance of the stock is another area that can tell traders how to proceed. NLS is presenting an interesting case. This can be seen in the Forward P/E ratio, which currently stands at 24.70. Moreover, the company’s enterprise value has gone from $304.65M to $103.53M 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, NLS made a profit of 47.4 million. Nautilus Inc. also saw quarter revenue growth year over year of -22.05%. In addition, the company has operating cash flow of $61.18 million.
Looking at popular technical indicators, the company’s 5-day moving average is 21.07 compared to the 50-day moving average of 15.52. 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. NLS currently holds a 9-day RSI of 81.77%, while 100-day RSI stands at 66.77%.
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. NLS’s 9-day MACD is 2.39 and the company’s 100-day MACD stands at 10.20.
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 2.14% by insiders and 68.87% by institutions.
Over the last six months, insiders have sold 10,000 with the most recent transaction from Horn Richard A, Director, with a sell at price 13.02 per share.
Overall, the recommended rating for NLS is Strong Buy. Currently, the company has 5 analysts watching the stock, and the average quarterly earnings estimate is 0.24. Quarterly revenue estimates are averaging 106.7M with the high estimate reaching 111.8M and the low at 95.42M.
To review, the current 1-year target estimate is sitting at 19.00, while the current price 23.08. Based on this, we expect some pullback on the stock over time given our above analysis.