Liberty Latin America Ltd. [NASDAQ:LILAK] has active tape with a current price of $10.94 against an analyst price target of 17.24.
For the year, the stock is trading -40.45% and the five-day change stands at 23.76%. As a point of reference, the S&P 500 is trading 0.87% YTD.
Other data to note about the company today is the Recommendation Trend that is leaning toward Liberty Latin America Ltd. [LILAK] as Strong Buy.
The Price is right
Holding a Market Cap of $1.51 billion, Liberty Latin America Ltd. has seen a trading range over the last year of $7.47-$18.83.
For the last five days, LILAK is up from its last closing price. The average shares trading hands each day is 1.43M, with average 10-day volume coming in at 2.45 million.
Using a Force Index Indicator is a good way to look at how strong actual buying and selling pressure is for LILAK. When we apply the Elder Force Index to Liberty Latin America Ltd., we are seeing an Elder Force Indicator number of 7073406.98.
Recent Performance
The company’s enterprise value has gone from $8.98B to $9.08B 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.
Liberty Latin America Ltd. also saw quarter revenue growth year over year of 4.35%. In addition, the company has operating cash flow of $840.4 million.
Technical Analysis
Looking at popular technical indicators, the company’s 5-day moving average is 9.48 compared to the 50-day moving average of 8.69. 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. LILAK currently holds a 9-day RSI of 79.34%, while 100-day RSI stands at 49.47%.
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. LILAK’s 9-day MACD is 0.80 and the company’s 100-day MACD stands at 0.40.
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 6.98% by insiders and 93.98% by institutions. Regarding institutional holdings, Genesis Investment Management, LLP owns 8.54%, while the second top holder, Searchlight Capital Partners, L.P., currently owns 8.38%.
Conclusion
Overall, the recommended rating for LILAK is Strong Buy. Currently, the company has 3 analysts watching the stock, and the average quarterly earnings estimate is -0.3. Quarterly revenue estimates are averaging 981.08M with the high estimate reaching 1.1B and the low at 864.27M.
To review, the current 1-year target estimate is sitting at 17.24, while the current price 10.94. Based on this, we expect the stock to rise considering the aforementioned fundamentals.
