SMTC Corporation (SMTX): Down -3.06% Today, Time To Sell This Stock?

The biggest losers of the session on the Wall Street include SMTC Corporation (NASDAQ:SMTX), which fell -0.11 points or -3.06% to trade at $3.48 as last check. The stock closed last session at $3.59 and sets an active trading volume day with a reported 87814 contracts so far this session. SMTX shares had a relatively better volume day versus average trading capacity of 130.09 thousand shares, but with a 20.58 million float and a 15.43% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for SMTX stock indicates that the average analyst price target is $7.5 per share. This means the stock has a potential increase of 115.52% from where the SMTX share price has been trading recently which is between $3.35 and $3.59. There are some brokerage firms that offer lower targets than the average, with one of them, even setting their price target at $6.

The shorts are running away from SMTC Corporation (SMTX) stock. The latest set of short interest data was released on 15 May 2019, and the numbers show a drop in short interest in SMTX shares. While short interest still represents only 3.11% of SMTX’s float, the number of shares shorted have fallen by -33545. The number of shares shorted fell to 639378 shares, down from 672923 shares during the preceding fortnight. With average daily trading volumes at 79334 shares, days to cover decreased to about 9.776595 days. The most recent news story about the stock that appeared in Yahoo Finance‘s news section was titled “Is There An Opportunity With SMTC Corporation’s (NASDAQ:SMTX) 34% Undervaluation?” and dated June 11, 2019.

During the recent trading session for SMTC Corporation (NASDAQ:SMTX), the company witnessed their stock rise $0.25 over a week and tumble down $-0.19 from the price 20 days ago. When compared to their established 52-week high of $5.98, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 01/28/19. The recent low of $2.3 stood for a -41.81% since 07/30/18, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 0.44 is also allocated to the stock. Since the beta is less than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to.

Looking at the current readings for SMTC Corporation, the two-week RSI stands at 51.42. This figure suggests that SMTX stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current SMTX readings is similarly very revealing as it has a stochastic reading of 54.11% at this stage. This figure means that SMTX share price today is being neutral.

Technical chart claims that SMTC Corporation (SMTX) would settle between $3.67/share to $3.75/share level. However, if the stock price goes below the $3.43 mark, then the market for SMTC Corporation becomes much weaker. If that happens, the stock price might even plunge as low as $3.27 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 0.15. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.

Analysts at B. Riley FBR, assumed coverage of SMTX assigning Buy rating, according to their opinion released on December 11.

SMTX equity has an average rating of 2, with the figure leaning towards a bullish end. 2 analysts who tracked the company were contacted by Reuters. Amongst them, 0 rated the stock as a hold while the remaining 2 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while no rated it as a sell. 2 analysts rated SMTC Corporation (NASDAQ:SMTX) as a buy or a strong buy while not a single analyst advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.

Moving on, SMTX stock price is currently trading at 8.16X forward 12-month Consensus EPS estimates, and its P/S ratio is 0.15 while for the average stock in the same group, the multiple is 8.21.

SMTC Corporation (SMTX)’s current-quarter revenues are projected to climb by nearly 122.01% to hit $98.75 million, based on current Zacks Consensus Estimate. The firm’s full-year revenues are expected to expand by over 86.44% from $216130 to a noteworthy $402950. At the other end of the current quarter income statement, SMTC Corporation is expected to see its adjusted earnings surge by roughly 0% to hit $-0.01 per share. For the fiscal year, SMTX’s earnings are projected to climb by roughly 16.67% to hit $0.07 per share.