What’s Really Driving Allakos Inc. (ALLK) Stock Down -2.85% Today

Allakos Inc. (NASDAQ:ALLK) is among the top losers of the stock market today, sinking -2.85% or (-1.99 points) to $67.91 from its previous close of $69.9. 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 125457 contracts so far this session. ALLK shares had a relatively better volume day versus average trading capacity of 460.19 thousand shares, but with a 43.35 million float and a -0.75% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for ALLK stock indicates that the average analyst price target is $113 per share. This means the stock has a potential increase of 66.4% from where the ALLK share price has been trading recently.

During the recent trading session for Allakos Inc. (NASDAQ:ALLK), the company witnessed their stock drop by $-1.25 over a week and tumble down $-15.67 from the price 20 days ago. When compared to their established 52-week high of $139.99, the high they recorded in their recent session happens to be higher. Their established 52-week high was attained by the company on 04/12/19. The recent low of $30.32 stood for a -51.49% since 02/08/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 0 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 Allakos Inc., the two-week RSI stands at 30.11. This figure suggests that ALLK 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 ALLK readings is similarly very revealing as it has a stochastic reading of 20.43% at this stage. This figure means that ALLK share price today is being overbought.

Technical chart claims that Allakos Inc. (ALLK) would settle between $70.75/share to $71.59/share level. However, if the stock price goes below the $68.36 mark, then the market for Allakos Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $66.81 for its downside target. The stock is currently in the red zone of MACD, with the indicator reading -1.5. 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, assumed coverage of ALLK assigning Neutral rating, according to their opinion released on February 04. William Blair, analysts launched coverage of Allakos Inc. (NASDAQ:ALLK) stock with a Outperform recommendation, according to their flash note issued to investors on August 13. Analysts at Jefferies, made their first call for the equity with a Buy recommendation, according to a research note that dated back to August 13.

ALLK equity has an average rating of 1.75, with the figure leaning towards a bullish end. 4 analysts who tracked the company were contacted by Reuters. Amongst them, 1 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 Allakos Inc. (NASDAQ:ALLK) 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.