Why Tandem Diabetes Care, Inc. (TNDM) Shares Retreated -4.27% Today

What just happened? Tandem Diabetes Care, Inc. (NASDAQ:TNDM) stock value has plummeted by nearly -4.27% or (-2.71 points) to $60.73 from its previous close of $63.44. Does this decline mean it the best stock to buy right now? The shares seem to have an active trading volume day with a reported 707633 contracts so far this session. TNDM shares had a relatively better volume day versus average trading capacity of 1.37 million shares, but with a 54.02 million float and a 1.52% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for TNDM stock indicates that the average analyst price target is $82.38 per share. This means the stock has a potential increase of 35.65% from where the TNDM share price has been trading recently which is between $62.08 and $64.39. There are some brokerage firms that offer lower targets than the average, with one of them, even setting their price target at $70.

The shorts are running away from Tandem Diabetes Care, Inc. (TNDM) stock. The latest set of short interest data was released on 31 July 2019, and the numbers show a drop in short interest in TNDM shares. While short interest still represents only 6.91% of TNDM’s float, the number of shares shorted have fallen by -111097. The number of shares shorted fell to 3622521 shares, down from 3733618 shares during the preceding fortnight. With average daily trading volumes at 973448 shares, days to cover increased to about 3.633759 days. The most recent news story about the stock that appeared in Yahoo Finance‘s news section was titled “Tandem Diabetes Care Inc (TNDM) EVP & CHIEF COMMERCIAL OFFICER Brian B Hansen Sold $944,550 …” and dated August 13, 2019.

During the recent trading session for Tandem Diabetes Care, Inc. (NASDAQ:TNDM), the company witnessed their stock rise $1.08 over a week and tumble down $-2.19 from the price 20 days ago. When compared to their established 52-week high of $74.81, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 03/21/19. The recent low of $26.4 stood for a -18.82% since 11/20/18, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 0.28 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 Tandem Diabetes Care, Inc., the two-week RSI stands at 45.74. This figure suggests that TNDM 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 TNDM readings is similarly very revealing as it has a stochastic reading of 26.61% at this stage. This figure means that TNDM share price today is being overbought.

Technical chart claims that Tandem Diabetes Care, Inc. (TNDM) would settle between $64.53/share to $65.61/share level. However, if the stock price goes below the $62.22 mark, then the market for Tandem Diabetes Care, Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $60.99 for its downside target. The stock is currently in the red zone of MACD, with the indicator reading -0.46. 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 BofA/Merrill lifted target price for shares of TNDM but were stick to Neutral recommendation for the stock in their opinion released on May 17. The price target has been raised from $65 to $75. SVB Leerink, analysts launched coverage of Tandem Diabetes Care, Inc. (NASDAQ:TNDM) stock with a Outperform recommendation, according to their flash note issued to investors on May 13. Analysts at BMO Capital Markets, made their first call for the equity with a Outperform recommendation, according to a research note that dated back to March 08.

TNDM equity has an average rating of 1.92, with the figure leaning towards a bullish end. 13 analysts who tracked the company were contacted by Reuters. Amongst them, 3 rated the stock as a hold while the remaining 10 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. 10 analysts rated Tandem Diabetes Care, Inc. (NASDAQ:TNDM) 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, TNDM stock price is currently trading at 0X forward 12-month Consensus EPS estimates, and its P/S ratio is 0.51 while for the average stock in the same group, the multiple is 6.55.

Tandem Diabetes Care, Inc. (TNDM)’s current-quarter revenues are projected to climb by nearly 91.21% to hit $88.46 million, based on current Zacks Consensus Estimate. The firm’s full-year revenues are expected to expand by over 95.41% from $183870 to a noteworthy $359290. At the other end of the current quarter income statement, Tandem Diabetes Care, Inc. is expected to see its adjusted earnings surge by roughly 36.67% to hit $-0.19 per share. For the fiscal year, TNDM’s earnings are projected to climb by roughly 74.51% to hit $-0.65 per share.