Fact Check: What’s wrong with Frontier Communications Corporation (FTR) today

The biggest losers of the session on the Wall Street include Frontier Communications Corporation (NASDAQ:FTR), which fell -0.07 points or -3.76% to trade at $1.66 as last check. The stock closed last session at $1.73 and sets an active trading volume day with a reported 779542 contracts so far this session. FTR shares had a relatively better volume day versus average trading capacity of 3.32 million shares, but with a 0.1 billion float and a -2.26% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for FTR stock indicates that the average analyst price target is $2.14 per share. This means the stock has a potential increase of 28.92% from where the FTR share price has been trading recently which is between $1.72 and $1.79. There are some brokerage firms that offer lower targets than the average, with one of them, even setting their price target at $1.

The shorts are running away from Frontier Communications Corporation (FTR) stock. The latest set of short interest data was released on 28 June 2019, and the numbers show a drop in short interest in FTR shares. While short interest still represents only 54.95% of FTR’s float, the number of shares shorted have fallen by -2254220. The number of shares shorted fell to 54762291 shares, down from 57016511 shares during the preceding fortnight. With average daily trading volumes at 5147841 shares, days to cover decreased to about 19.21835 days. The most recent news story about the stock that appeared in Yahoo Finance‘s news section was titled “Before You Buy Frontier Communications Corporation (NASDAQ:FTR), Consider Its Volatility” and dated July 11, 2019.

During the recent trading session for Frontier Communications Corporation (NASDAQ:FTR), the company witnessed their stock drop by $-0.09 over a week and surge $0.16 from the price 20 days ago. When compared to their established 52-week high of $7.25, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 10/10/18. The recent low of $1.21 stood for a -77.03% since 06/19/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 1.42 is also allocated to the stock. Since the beta is greater 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 Frontier Communications Corporation, the two-week RSI stands at 47.04. This figure suggests that FTR 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 FTR readings is similarly very revealing as it has a stochastic reading of 81.23% at this stage. This figure means that FTR share price today is being oversold.

Technical chart claims that Frontier Communications Corporation (FTR) would settle between $1.77/share to $1.82/share level. However, if the stock price goes below the $1.7 mark, then the market for Frontier Communications Corporation becomes much weaker. If that happens, the stock price might even plunge as low as $1.68 for its downside target. The stock is currently in the red zone of MACD, with the indicator reading -0.01. 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 Raymond James lowered their recommendation on shares of FTR from Outperform to Mkt Perform in their opinion released on February 19. Wells Fargo analysts have lowered their rating of Frontier Communications Corporation (NASDAQ:FTR) stock from Market Perform to Underperform in a separate flash note issued to investors on January 08. Analysts at UBS lowered the stock to a Sell call from its previous Neutral recommendation, in a research note that dated back to November 07.

FTR equity has an average rating of 3.91, with the figure leaning towards a bullish end. 11 analysts who tracked the company were contacted by Reuters. Amongst them, 4 rated the stock as a hold while the remaining 7 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while others rated it as a sell. 0 analysts rated Frontier Communications Corporation (NASDAQ:FTR) as a buy or a strong buy while 7 advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.

Moving on, FTR stock price is currently trading at 0X forward 12-month Consensus EPS estimates, and its P/S ratio is 0.02 while for the average stock in the same group, the multiple is 3.36.

Frontier Communications Corporation (FTR)’s current-quarter revenues are projected to climb by nearly -4.47% to hit $2.07 billion, based on current Zacks Consensus Estimate. The firm’s full-year revenues are expected to expand by over -4.73% from $8.61 billion to a noteworthy $8.2 billion. At the other end of the current quarter income statement, Frontier Communications Corporation is expected to see its adjusted earnings surge by roughly 57.5% to hit $-0.34 per share. For the fiscal year, FTR’s earnings are projected to climb by roughly 82.56% to hit $-1.46 per share.