Dillard’s Inc. [NYSE:DDS] is seeing significant action in the Consumer Cyclical space. DDS stock has price per sales of 0.18. The company is also booking -4.34 earnings per share.
The tape is active for Dillard’s Inc. [DDS] and the current price target sits at $26.80.
To add more color to this price target, DDS’s high over the last year is $34.00 and the low is $19.00. Over the last two 52 weeks, the company is trading -40.49%, while the S&P 500 is trading 1.11%.
The Price is right
Holding a Market Cap of $937.12 million, Dillard’s Inc. has seen a trading range over the last year of $21.50-$84.47.
For the last five days, DDS is up from its last closing price. The average shares trading hands each day is 540.65K, with average 10-day volume coming in at 0.69 million.
Using a Force Index Indicator is a good way to look at how strong actual buying and selling pressure is for DDS. When we apply the Elder Force Index to Dillard’s Inc., we are seeing an Elder Force Indicator number of 21270406.3.
Recent Performance
The company’s enterprise value has gone from $1.09B to $1.02B 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, DDS made a profit of 305.34 million. Dillard’s Inc. also saw quarter revenue growth year over year of -2.46%. In addition, the company has operating cash flow of $89.14 million.
Technical Analysis
Looking at popular technical indicators, the company’s 5-day moving average is 44.51 compared to the 50-day moving average of 33.55. 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. DDS currently holds a 9-day RSI of 93.96%, while 100-day RSI stands at 56.38%.
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. DDS’s 9-day MACD is 5.66 and the company’s 100-day MACD stands at 17.58.
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 20.31% by insiders and 109.37% by institutions.
Over the last six months, insiders have bought 300 with the most recent transaction from MATHENY DRUE, Executive Vice President, with a purchase at price 37.00 per share.
Conclusion
Overall, the recommended rating for DDS is Hold. Currently, the company has 5 analysts watching the stock, and the average quarterly earnings estimate is -0.86. Quarterly revenue estimates are averaging 1.19B with the high estimate reaching 1.28B and the low at 1.04B.
To review, the current 1-year target estimate is sitting at 26.80, while the current price 56.38. Based on this, we expect some pullback on the stock over time given our above analysis.
