LMP Automotive Holdings Inc. [NASDAQ:LMPX] prices rallied 18.84% on Friday.
With a current price of $41.70, LMPX is active in the Auto & Truck Dealerships industry and it looks to be on-track for a five-day run of 17.95%.
In addition, LMPX’s high over the last year is $49.30 and the low is $3.28 while the S&P 500 is trading 1.11%.
The Price is right
Holding a Market Cap of $302.83 million, LMP Automotive Holdings Inc. has seen a trading range over the last year of $3.28-$49.30.
For the last five days, LMPX is up from its last closing price. The average shares trading hands each day is 353.14K, with average 10-day volume coming in at 0.36 million.
Using a Force Index Indicator is a good way to look at how strong actual buying and selling pressure is for LMPX. When we apply the Elder Force Index to LMP Automotive Holdings Inc., we are seeing an Elder Force Indicator number of 6698911.11.
Recent Performance
The company’s enterprise value has gone from $81.64M to $51.07M quarter-over-quarter. Obviously, the company is heading in the wrong direction, but there are still opportunities for growth in the sector.
LMP Automotive Holdings Inc. also saw quarter revenue growth year over year of -34.63%. In addition, the company has operating cash flow of -$9.36 million.
Technical Analysis
Looking at popular technical indicators, the company’s 5-day moving average is 34.56 compared to the 50-day moving average of 21.06. 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. LMPX currently holds a 9-day RSI of 87.55%, while 100-day RSI stands at 63.39%.
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. LMPX’s 9-day MACD is 4.07 and the company’s 100-day MACD stands at 22.46.
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 40.88% by insiders and 2.03% by institutions. Regarding institutional holdings, Zeke Capital Advisors LLC owns 1.01%, while the second top holder, Wells Fargo & Company, currently owns 0.94%.
Over the last six months, insiders have bought 2,000 with the most recent transaction from Cohen William G, Director, with a purchase at price 17.40 per share.
Conclusion
Overall, the recommended rating for LMPX is Moderate Buy. Currently, the company has 0 analysts watching the stock, and the average quarterly earnings estimate is 0. Quarterly revenue estimates are averaging 19.6M with the high estimate reaching 19.6M and the low at 19.6M.
