Why Continental Resources, Inc. (CLR) Is An Unattractive Stock Today

Continental Resources, Inc. (NYSE:CLR) is a stock to watch today. At current price of $33.56, the shares have already lost -0.77 points (-2.24% lower) from its previous close of $34.33. The stock sets an active trading volume day with a reported 364816 contracts so far this session. CLR shares had a relatively better volume day versus average trading capacity of 2.06 million shares, but with a 81.42 million float and a 0.44% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for CLR stock indicates that the average analyst price target is $42.64 per share. This means the stock has a potential increase of 27.06% from where the CLR share price has been trading recently.

During the recent trading session for Continental Resources, Inc. (NYSE:CLR), the company witnessed their stock rise $0.09 over a week and surge $0.14 from the price 20 days ago. When compared to their established 52-week high of $52.03, the high they recorded in their recent session happens to be higher. Their established 52-week high was attained by the company on 04/23/19. The recent low of $27.26 stood for a -35.51% since 08/10/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 1.91 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 Continental Resources, Inc., the two-week RSI stands at 48.21. This figure suggests that CLR 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 CLR readings is similarly very revealing as it has a stochastic reading of 43.68% at this stage. This figure means that CLR share price today is being neutral.

Technical chart claims that Continental Resources, Inc. (CLR) would settle between $34.61/share to $34.9/share level. However, if the stock price goes below the $33.92 mark, then the market for Continental Resources, Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $33.52 for its downside target. The stock is currently in the red zone of MACD, with the indicator reading -0.14. 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 Goldman lowered their recommendation on shares of CLR from Neutral to Sell in their opinion released on December 17. Mizuho analysts have lowered their rating of Continental Resources, Inc. (NYSE:CLR) stock from Buy to Neutral in a separate flash note issued to investors on October 10. Analysts at Credit Suisse lowered the stock to a Neutral call from its previous Outperform recommendation, in a research note that dated back to October 04.

CLR equity has an average rating of 2.32, with the figure leaning towards a bullish end. 29 analysts who tracked the company were contacted by Reuters. Amongst them, 9 rated the stock as a hold while the remaining 20 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. 19 analysts rated Continental Resources, Inc. (NYSE:CLR) as a buy or a strong buy while 1 advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.

Moving on, CLR stock price is currently trading at 14.78X forward 12-month Consensus EPS estimates, and its P/E ratio is 16.4 while for the average stock in the same group, the multiple is 15.9. Continental Resources, Inc. current P/B ratio of 1.9 means it is trading at a premium against its industry’s 1.3.

Continental Resources, Inc. (CLR)’s current-quarter revenues are projected to climb by nearly -1.9% to hit $1.13 billion, based on current consensus estimate. The firm’s full-year revenues are expected to expand by over -3.4% from $4.71 billion to a noteworthy $4.55 billion. At the other end of the current quarter income statement, Continental Resources, Inc. is expected to see its adjusted earnings surge by roughly -7.4% to hit $0.5 per share. For the fiscal year, CLR’s earnings are projected to climb by roughly -22.2% to hit $2.21 per share.