Pfenex Inc. (PFNX): what caused a melt-up today?

An interesting stock that came up in some of our conversations today is Pfenex Inc. (NYSE:PFNX). At current price of $13.36, the shares have already added 0.33 points (2.53% higher) from its previous close of $13.03. Should you buy or avoid them? The stock sets an active trading volume day with a reported 137968 contracts so far this session. PFNX shares had a relatively better volume day versus average trading capacity of 274.3 thousand shares, but with a 29.27 million float and a 13.9% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for PFNX stock indicates that the average analyst price target is $19.5 per share. This means the stock has a potential increase of 45.96% from where the PFNX share price has been trading recently.

During the recent trading session for Pfenex Inc. (NYSE:PFNX), the company witnessed their stock rise $1.11 over a week and surge $0.67 from the price 20 days ago. When compared to their established 52-week high of $13.65, the high they recorded in their recent session happens to be higher. Their established 52-week high was attained by the company on 12/16/19. The recent low of $3.4 stood for a -2.12% since 01/29/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 2.3 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 Pfenex Inc., the two-week RSI stands at 73.9. This figure suggests that PFNX stock, for now, is oversold, meaning that the shares are not stable in terms of price movement. The stochastic readings, on the other hand, based on the current PFNX readings is similarly very revealing as it has a stochastic reading of 96.58% at this stage. This figure means that PFNX share price today is being oversold.

Technical chart claims that Pfenex Inc. (PFNX) would settle between $13.37/share to $13.7/share level. However, if the stock price goes below the $12.47 mark, then the market for Pfenex Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $11.9 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 0.76. 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 Cantor Fitzgerald, assumed coverage of PFNX assigning Overweight rating, according to their opinion released on October 25. Mizuho analysts again handed out a Buy recommendation to Pfenex Inc. (NYSE:PFNX) stock but they lifted target price for the shares in a flash note issued to investors on August 09. The target price has been raised from $22 to $18. Analysts at Barclays are sticking to their Overweight stance. However, on May 24, they lifted price target for these shares to $14 from $28.

PFNX equity has an average rating of 1.83, with the figure leaning towards a bullish end. 3 analysts who tracked the company were contacted by Reuters. Amongst them, 0 rated the stock as a hold while the remaining 3 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. 3 analysts rated Pfenex Inc. (NYSE:PFNX) 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.

Pfenex Inc. (PFNX)’s current-quarter revenues are projected to climb by nearly 343.2% to hit $14.85 million, based on current consensus estimate. The firm’s full-year revenues are expected to expand by over 191.2% from $14.86 million to a noteworthy $43.26 million. At the other end of the current quarter income statement, Pfenex Inc. is expected to see its adjusted earnings surge by roughly 131.8% to hit $0.07 per share. For the fiscal year, PFNX’s earnings are projected to climb by roughly 86.4% to hit $-0.19 per share.