Why Model N, Inc. (MODN) Stock is Up Almost 2.6% Today

What just happened? Model N, Inc. (NYSE:MODN) stock value has climbed by nearly 2.6% or (0.9 points) to $35.5 from its previous close of $34.6. Does this growth mean it the best stock to buy right now? The shares seem to have an active trading volume day with a reported 187390 contracts so far this session. MODN shares had a relatively better volume day versus average trading capacity of 304.69 thousand shares, but with a 26.83 million float and a 10.76% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for MODN stock indicates that the average analyst price target is $37 per share. This means the stock has a potential increase of 4.23% from where the MODN share price has been trading recently.

During the recent trading session for Model N, Inc. (NYSE:MODN), the company witnessed their stock rise $3.55 over a week and surge $0.93 from the price 20 days ago. When compared to their established 52-week high of $35.84, the high they recorded in their recent session happens to be higher. Their established 52-week high was attained by the company on 12/27/19. The recent low of $16.13 stood for a -0.95% since 02/19/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 0.47 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 Model N, Inc., the two-week RSI stands at 70.56. This figure suggests that MODN 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 MODN readings is similarly very revealing as it has a stochastic reading of 92.25% at this stage. This figure means that MODN share price today is being oversold.

Technical chart claims that Model N, Inc. (MODN) would settle between $35.15/share to $35.7/share level. However, if the stock price goes below the $33.72 mark, then the market for Model N, Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $32.84 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 1.7. 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 JP Morgan raised their recommendation on shares of MODN from Neutral to Overweight in their opinion released on December 12. Dougherty & Company analysts again handed out a Buy recommendation to Model N, Inc. (NYSE:MODN) stock but they lifted target price for the shares in a flash note issued to investors on September 23. The target price has been raised from $26 to $32. Analysts at Needham released an upgrade from Hold to Buy for the stock, in a research note that dated back to August 07.

MODN equity has an average rating of 1.86, with the figure leaning towards a bullish end. 7 analysts who tracked the company were contacted by Reuters. Amongst them, 1 rated the stock as a hold while the remaining 6 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. 6 analysts rated Model N, Inc. (NYSE:MODN) 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.