Alibaba Group Holding Limited (NYSE:BABA) Gains As Market Dips
Alibaba (BABA) closed the most recent trading day at $165.77, moving +0.38% from the previous trading session. This change outpaced the S&P 500’s 1.79% loss on the day. Elsewhere, the Dow lost 1.86%, while the tech-heavy Nasdaq lost 1.56%.
Prior to today’s trading, shares of the online retailer had lost 4.21% over the past month. This has lagged the Retail-Wholesale sector’s loss of 1.17% and the S&P 500’s gain of 0.72% in that time.
Investors will be hoping for strength from BABA as it approaches its next earnings release. In that report, analysts expect BABA to post earnings of $1.56 per share. This would mark year-over-year growth of 11.43%. Meanwhile, our latest consensus estimate is calling for revenue of $16.82 billion, up 35.65% from the prior-year quarter.
Investors should also note BABA’s current valuation metrics, including its Forward P/E ratio of 22.99. This represents a discount compared to its industry’s average Forward P/E of 24.73.
Meanwhile, BABA’s PEG ratio is currently 0.82. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock’s expected earnings growth rate. The Internet – Commerce industry currently had an average PEG ratio of 1.52 as of yesterday’s close.
Overall, the bias in prices is: Downwards.
The projected upper bound is: 176.36.
The projected lower bound is: 154.68.
The projected closing price is: 165.52.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 3 white candles and 7 black candles for a net of 4 black candles. During the past 50 bars, there have been 21 white candles and 29 black candles for a net of 8 black candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 20.9872. This is not an overbought or oversold reading. The last signal was a buy 0 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 40.51. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 40 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -141.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a buy 5 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 6 period(s) ago.
Rex Takasugi – TD Profile
ALIBABA GRP ADR closed up 0.620 at 165.770. Volume was 20% below average (neutral) and Bollinger Bands were 18% narrower than normal.
Open High Low Close Volume___
163.040 166.600 161.900 165.770 2,786,859
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 172.73 171.42 169.18
Volatility: 44 41 38
Volume: 3,732,672 2,949,455 3,384,171
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
ALIBABA GRP ADR is currently 2.0% below its 200-period moving average and is in an downward trend. Volatility is Our volume indicators reflect volume flowing into and out of BABA.N at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on BABA.N and have had this outlook for the last 2 periods.