AFRM vs PTON: Swing Trade Strategies Yielding 25.03% & 27.28%
Comparative Analysis: AFRM vs PTON - A Deep Dive into Swing Trading Strategies and Industry Performance
In this article, we undertake a comparative analysis of two different trading strategies applied to AFRM and PTON, followed by a performance evaluation of their respective industries: @Packaged Software and @Recreational Products.
To start, let's look at the strategies applied by Swing Traders for each ticker. In the case of AFRM, the Deep Trend Analysis (TA) approach generated a 25.03% gain. On the other hand, the Volatility Balanced Strategy (TA) produced a slightly higher return of 27.28% for PTON. While both strategies produced substantial gains, the latter approach yielded a marginally better outcome.
Moving to the price growth of AFRM and PTON, we observed some interesting differences. AFRM experienced a weekly price change of +5.19%, significantly higher than the average weekly price growth of +2.50% across all stocks in the @Packaged Software industry. The monthly and quarterly growth rates of this industry stood at +7.23% and +21.55% respectively, suggesting a consistent upward trend.
In contrast, PTON recorded a whopping weekly price change of +19.63%, far surpassing the @Recreational Products industry's average weekly growth rate of +1.02%. The industry's monthly and quarterly growth rates were +7.76% and +11.50%, respectively, indicating a more fluctuating pattern.
In terms of earnings, AFRM is expected to report its results on Sep 07, 2023, while PTON is slated to announce its earnings earlier on Aug 24, 2023. The timing and outcomes of these earnings reports may have a substantial impact on the future price movements of these stocks.
Concluding with a brief description of the industries, the @Packaged Software industry, where AFRM operates, recorded a decent weekly growth of +2.50%. In comparison, the @Recreational Products industry, where PTON operates, observed a slower weekly growth rate of +1.02%. It's pertinent to understand that industry trends can play a critical role in shaping a company's stock performance.
AFRM and PTON have demonstrated impressive gains through their respective swing trading strategies. However, the stronger price growth of PTON, as well as its industry's high volatility, could make it a more lucrative choice for swing traders.
AFRM's MACD Histogram just turned positive
The Moving Average Convergence Divergence (MACD) for AFRM turned positive on January 29, 2025. Looking at past instances where AFRM's MACD turned positive, the stock continued to rise in of 34 cases over the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on January 28, 2025. You may want to consider a long position or call options on AFRM as a result. In of 64 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where AFRM advanced for three days, in of 241 cases, the price rose further within the following month. The odds of a continued upward trend are .
Bearish Trend Analysis
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 3 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
AFRM moved below its 50-day moving average on January 08, 2025 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for AFRM crossed bearishly below the 50-day moving average on January 13, 2025. This indicates that the trend has shifted lower and could be considered a sell signal. In of 9 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AFRM declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
AFRM broke above its upper Bollinger Band on January 30, 2025. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for AFRM entered a downward trend on January 23, 2025. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. AFRM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (4.055) is normal, around the industry mean (30.872). P/E Ratio (0.000) is within average values for comparable stocks, (160.113). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (2.763). Dividend Yield (0.000) settles around the average of (0.085) among similar stocks. P/S Ratio (5.495) is also within normal values, averaging (58.109).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. AFRM’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 87, placing this stock worse than average.
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
Industry PackagedSoftware