$0027.HK #HongKong #HSI #Galaxy #Entertainment #Stocks
Galaxy Entertainment
Ticker: 0027.HK
Price: HKD51.05
Recommendation: Buy
Company Outlook
Galaxy Entertainment Group Limited (HKG: 0027), could be one gaming company that is well-positioned to take advantage of the future recovery of the Macau gaming market. Let’s take a closer look at its businesses, latest earnings, historical financials, and competitive strengths.
Business Summary
Galaxy Entertainment Group Limited (GEG) is a hospitality and gaming company. The Company develops and operates hotels, gaming and integrated resort facilities in Macau.
The principal activity of the Company is investment holding.
The Company, through its subsidiaries, is engaged in operation in casino games of chance or games of other forms, provision of hospitality and related services in Macau, and the manufacture, sale and distribution of construction materials.
Its segments are Gaming and entertainment, Construction materials, and Corporate and treasury management.
The Company’s Galaxy Macau includes approximately 3,600 rooms, suites and villas across five hotels, including The Ritz-Carlton, Macau; Banyan Tree Macau; JW Marriott Hotel Macau; Hotel Okura Macau, and Galaxy Hotel.
The Company’s Broadway Hotel features approximately 320 rooms and suites, a porte-cochere, valet parking and decor.
GEG operates three City Club casinos: Waldo Casino, President Casino and Rio Casino.
Price Performance
Relative Valuation
Technical Indicators
Overall, the bias in prices is: Downwards.
Note: this chart shows extraordinary price action to the downside.
The projected upper bound is: 55.05.
The projected lower bound is: 47.11.
The projected closing price is: 51.08.
Candlesticks
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 2 white candles and 8 black candles for a net of 6 black candles. During the past 50 bars, there have been 20 white candles and 28 black candles for a net of 8 black candles.
A hammer occurred (a hammer has a long lower shadow and closes near the high). Hammers must appear after a significant decline or when prices are oversold (which appears to be the case with GALAXY ENT) to be valid. When this occurs, it usually indicates the formation of a support level and is thus considered a bullish pattern.
A hanging man occurred (a hanging man has a very long lower shadow and a small real body). This pattern can be bullish or bearish, depending on the trend. If it occurs during an uptrend it is called a hanging man line and signifies a reversal top. If it occurs during a downtrend (which appears to be the case with GALAXY ENT) it is called a bullish hammer.
A long lower shadow occurred. This is typically a bullish signal (particularly when it occurs near a low price level, at a support level, or when the security is oversold).
A spinning top occurred (a spinning top is a candle with a small real body). Spinning tops identify a session in which there is little price action (as defined by the difference between the open and the close). During a rally or near new highs, a spinning top can be a sign that prices are losing momentum and the bulls may be in trouble.
Three black candles occurred in the last three days. Although these candles were not big enough to create three black crows, the steady downward pattern is bearish.
Momentum Indicators
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.
Stochastic Oscillator
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 17.1428. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a buy 10 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 45.07. 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 86 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 -70. This is not a topping or bottoming area. The last signal was a buy 0 period(s) ago.
MACD
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 4 period(s) ago.
Rex Takasugi – TD Profile
GALAXY ENT closed up 0.850 at 51.100. Volume was 79% below average (consolidating) and Bollinger Bands were 34% narrower than normal.
Open High Low Close Volume 51.250 51.250 50.200 51.100 3,341,185
Technical Outlook Short Term: Oversold Intermediate Term: Bearish Long Term: Bearish
Moving Averages: 10-period 50-period 200-period Close: 52.24 53.09 52.14 Volatility: 39 48 52 Volume: 10,570,343 13,168,013 14,734,054
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.
Summary
GALAXY ENT is currently 2.0% below its 200-period moving average and is in an downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods.
Our volume indicators reflect volume flowing into and out of 0027.HK at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on 0027.HK and have had this outlook for the last 27 periods.
