Fact Check: What’s wrong with Lantronix, Inc. (LTRX) today

The biggest losers of the session on the Wall Street include Lantronix, Inc. (NASDAQ:LTRX), which fell -0.16 points or -4.39% to trade at $3.39 as last check. The stock closed last session at $3.55 and sets an active trading volume day with a reported 88495 contracts so far this session. LTRX shares had a relatively better volume day versus average trading capacity of 78.16 million shares, but with a 11.13 million float and a -6.2% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for LTRX stock indicates that the average analyst price target is $5.13 per share. This means the stock has a potential increase of 51.33% from where the LTRX share price has been trading recently.

During the recent trading session for Lantronix, Inc. (NASDAQ:LTRX), the company witnessed their stock drop by $-0.49 over a week and tumble down $-0.39 from the price 20 days ago. When compared to their established 52-week high of $4.42, the high they recorded in their recent session happens to be higher. Their established 52-week high was attained by the company on 01/24/20. The recent low of $2.34 stood for a -23.38% since 04/03/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 0.85 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 Lantronix, Inc., the two-week RSI stands at 34.88. This figure suggests that LTRX 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 LTRX readings is similarly very revealing as it has a stochastic reading of 20.21% at this stage. This figure means that LTRX share price today is being overbought.

Technical chart claims that Lantronix, Inc. (LTRX) would settle between $3.72/share to $3.9/share level. However, if the stock price goes below the $3.29 mark, then the market for Lantronix, Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $3.04 for its downside target. The stock is currently in the red zone of MACD, with the indicator reading -0.16. 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 Lake Street lifted target price for shares of LTRX but were stick to Buy recommendation for the stock in their opinion released on April 28. The price target has been raised from $2.50 to $4.

LTRX equity has an average rating of 2, with the figure leaning towards a bullish end. 2 analysts who tracked the company were contacted by Reuters. Amongst them, 0 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 Lantronix, Inc. (NASDAQ:LTRX) 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, LTRX stock price is currently trading at 12.14X 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 35.2. Lantronix, Inc. current P/B ratio of 2.8 means it is trading at a discount against its industry’s 3.6.