Cree, Inc. (NASDAQ:CREE) is one of the worst performers on the stock market today. At current price of $48.18, the shares have already lost -1.25 points (-2.53% lower) from its previous close of $49.43. Should you buy or avoid them? The stock sets an active trading volume day with a reported 424525 contracts so far this session. CREE shares had a relatively better volume day versus average trading capacity of 1.31 million shares, but with a 0.11 billion float and a -1.96% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for CREE stock indicates that the average analyst price target is $47.78 per share. This means the stock has a potential decrease of -0.83% from where the CREE share price has been trading recently.
During the recent trading session for Cree, Inc. (NASDAQ:CREE), the company witnessed their stock rise $1.28 over a week and tumble down $-3.86 from the price 20 days ago. When compared to their established 52-week high of $69.21, the high they recorded in their recent session happens to be higher. Their established 52-week high was attained by the company on 04/24/19. The recent low of $40.46 stood for a -30.39% since 10/31/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 0.91 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 Cree, Inc., the two-week RSI stands at 47.2. This figure suggests that CREE 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 CREE readings is similarly very revealing as it has a stochastic reading of 44.03% at this stage. This figure means that CREE share price today is being neutral.
Technical chart claims that Cree, Inc. (CREE) would settle between $50.22/share to $51/share level. However, if the stock price goes below the $48.63 mark, then the market for Cree, Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $47.82 for its downside target. The stock is currently in the red zone of MACD, with the indicator reading -0.18. 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 lowered their recommendation on shares of CREE from Neutral to Underweight in their opinion released on October 31. Wells Fargo, analysts launched coverage of Cree, Inc. (NASDAQ:CREE) stock with a Market Perform recommendation, according to their flash note issued to investors on October 11. Analysts at Exane BNP Paribas, made their first call for the equity with a Underperform recommendation, according to a research note that dated back to August 29.
CREE equity has an average rating of 2.92, with the figure leaning towards a bullish end. 13 analysts who tracked the company were contacted by Reuters. Amongst them, 6 rated the stock as a hold while the remaining 7 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while others rated it as a sell. 4 analysts rated Cree, Inc. (NASDAQ:CREE) as a buy or a strong buy while 3 advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.
Moving on, CREE stock price is currently trading at 252.19X 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 28.3. Cree, Inc. current P/B ratio of 2.7 means it is trading at a discount against its industry’s 5.2.