Avid Technology, Inc. (AVID) Up 4.62%: Why This Stock Is Lively Today

Avid Technology, Inc. (NASDAQ:AVID) is among the top gainers of the stock market today, skyrocketing 4.62% or (0.42 points) to $9.4 from its previous close of $8.98. 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 118431 contracts so far this session. AVID shares had a relatively better volume day versus average trading capacity of 223.93 thousand shares, but with a 40.65 million float and a 5.65% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for AVID stock indicates that the average analyst price target is $10.83 per share. This means the stock has a potential increase of 15.21% from where the AVID share price has been trading recently.

During the recent trading session for Avid Technology, Inc. (NASDAQ:AVID), the company witnessed their stock rise $0.96 over a week and surge $0.25 from the price 20 days ago. When compared to their established 52-week high of $10.79, the high they recorded in their recent session happens to be higher. Their established 52-week high was attained by the company on 01/08/19. The recent low of $4.37 stood for a -12.93% since 08/03/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 1.85 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 Avid Technology, Inc., the two-week RSI stands at 67.21. This figure suggests that AVID 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 AVID readings is similarly very revealing as it has a stochastic reading of 86.26% at this stage. This figure means that AVID share price today is being oversold.

Technical chart claims that Avid Technology, Inc. (AVID) would settle between $9.07/share to $9.17/share level. However, if the stock price goes below the $8.86 mark, then the market for Avid Technology, Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $8.74 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 0.33. 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 B. Riley FBR, assumed coverage of AVID assigning Buy rating, according to their opinion released on November 15. Maxim Group, analysts launched coverage of Avid Technology, Inc. (NASDAQ:AVID) stock with a Buy recommendation, according to their flash note issued to investors on May 01. Analysts at BWS Financial lowered the stock to a Sell call from its previous Hold recommendation, in a research note that dated back to March 21.

AVID equity has an average rating of 2.5, with the figure leaning towards a bullish end. 4 analysts who tracked the company were contacted by Reuters. Amongst them, 2 rated the stock as a hold while the remaining 2 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. 2 analysts rated Avid Technology, Inc. (NASDAQ:AVID) 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, AVID stock price is currently trading at 11.66X forward 12-month Consensus EPS estimates, and its P/E ratio is 0 while for the average stock in the same group, the multiple is 40.2. Avid Technology, Inc. current P/B ratio of 0 means it is trading at a discount against its industry’s 5.5.

Avid Technology, Inc. (AVID)’s current-quarter revenues are projected to climb by nearly -0.7% to hit $111850, based on current consensus estimate. The firm’s full-year revenues are expected to expand by over -1.4% from $413280 to a noteworthy $407310. At the other end of the current quarter income statement, Avid Technology, Inc. is expected to see its adjusted earnings surge by roughly 3.4% to hit $0.3 per share. For the fiscal year, AVID’s earnings are projected to climb by roughly 100% to hit $0.54 per share.