Why Did HUYA Inc. (HUYA) Rise 2.34% Today? This Could Be The Reason

An interesting stock that came up in some of our conversations today is HUYA Inc. (NYSE:HUYA). At current price of $21.02, the shares have already added 0.48 points (2.34% higher) from its previous close of $20.54. Should you buy or avoid them? The stock sets an active trading volume day with a reported 970537 contracts so far this session. HUYA shares had a relatively better volume day versus average trading capacity of 3.7 million shares, but with a 0.21 billion float and a 7.76% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for HUYA stock indicates that the average analyst price target is $27.55 per share. This means the stock has a potential increase of 31.07% from where the HUYA share price has been trading recently.

During the recent trading session for HUYA Inc. (NYSE:HUYA), the company witnessed their stock rise $1.85 over a week and surge $0.44 from the price 20 days ago. When compared to their established 52-week high of $30, the high they recorded in their recent session happens to be higher. Their established 52-week high was attained by the company on 05/03/19. The recent low of $16.4 stood for a -29.93% since 12/16/19, 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 HUYA Inc., the two-week RSI stands at 64.55. This figure suggests that HUYA 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 HUYA readings is similarly very revealing as it has a stochastic reading of 83.95% at this stage. This figure means that HUYA share price today is being oversold.

Technical chart claims that HUYA Inc. (HUYA) would settle between $20.93/share to $21.31/share level. However, if the stock price goes below the $20.04 mark, then the market for HUYA Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $19.53 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 0.95. 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 Needham, assumed coverage of HUYA assigning Buy rating, according to their opinion released on December 12. Morgan Stanley analysts have lowered their rating of HUYA Inc. (NYSE:HUYA) stock from Overweight to Equal-Weight in a separate flash note issued to investors on December 02. Analysts at HSBC Securities, made their first call for the equity with a Buy recommendation, according to a research note that dated back to September 16.

HUYA equity has an average rating of 1.76, with the figure leaning towards a bullish end. 17 analysts who tracked the company were contacted by Reuters. Amongst them, 2 rated the stock as a hold while the remaining 15 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. 15 analysts rated HUYA Inc. (NYSE:HUYA) 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, HUYA stock price is currently trading at 25.45X forward 12-month Consensus EPS estimates, and its P/E ratio is 44.7 while for the average stock in the same group, the multiple is 19.7. HUYA Inc. current P/B ratio of 3.7 means it is trading at a premium against its industry’s 3.7.

HUYA Inc. (HUYA)’s current-quarter revenues are projected to climb by nearly 52.8% to hit $339210, based on current consensus estimate. The firm’s full-year revenues are expected to expand by over 70.7% from $687860 to a noteworthy $1.17 billion. At the other end of the current quarter income statement, HUYA Inc. is expected to see its adjusted earnings surge by roughly 27.3% to hit $0.14 per share. For the fiscal year, HUYA’s earnings are projected to climb by roughly 50% to hit $0.45 per share.