In the realm of swing trading, even amidst choppy market conditions, some stocks emerge as clear winners. One such stock, Workhorse Group Inc. (WKHS), has yielded impressive results, with a 26.15% return under a market-neutral strategy combining technical analysis (TA) and fundamental analysis (FA).
The Moving Average Convergence Divergence (MACD) is a crucial indicator that swing traders use to identify potential price swings. MACD involves a comparison of two moving averages of a security's price, namely a "fast" and a "slow" moving average. When the MACD crosses above the signal line, it often indicates an upward trend.
WKHS's MACD crossed above the signal line on July 03, 2023, suggesting a bullish trend. This event has historically been a reliable predictor of an upward swing for WKHS. To quantify, there have been 41 past instances where the MACD for WKHS turned positive, and in 36 of those instances, the stock continued its upward trajectory over the following month. This consistency gives us a confidence level of approximately 88% that WKHS will maintain its upward momentum, presenting a potentially profitable opportunity for swing traders.
To put it into perspective, an 88% confidence level is a significant statistic in a field where strategies and decisions are typically data-driven. It is noteworthy to mention that while past performance is not a guaranteed predictor of future returns, it does provide substantial insights into potential trends and patterns.
Moreover, WKHS's substantial return of 26.15% is a testament to the effectiveness of the market-neutral strategy (TA&FA). This strategy aims to minimize market risk by being equally invested in long and short positions, thus profiting from both rising and falling markets.
The positive MACD crossover for WKHS, coupled with an 88% probability of a continued upward trend, offers a promising outlook for the stock. The significant return generated by this popular stock under the market-neutral strategy further emphasizes its potential as an advantageous pick for swing traders. However, like any trading strategy, continuous monitoring and reassessment of the market conditions is vital to ensure sustained success.
The Stochastic Oscillator for WKHS moved out of overbought territory on October 17, 2024. This could be a bearish sign for the stock and investors may want to consider selling or taking a defensive position. A.I.dvisor looked at 51 similar instances where the indicator exited the overbought zone. In of the 51 cases the stock moved lower. This puts the odds of a downward move at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where WKHS declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
WKHS broke above its upper Bollinger Band on September 24, 2024. 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 Momentum Indicator moved above the 0 level on October 15, 2024. You may want to consider a long position or call options on WKHS as a result. In of 80 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
WKHS moved above its 50-day moving average on October 18, 2024 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where WKHS advanced for three days, in of 234 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 137 cases where WKHS Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. WKHS’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 slightly overvalued 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 (0.849) is normal, around the industry mean (6.019). P/E Ratio (3.200) is within average values for comparable stocks, (18.031). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (5.553). WKHS has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.043). P/S Ratio (3.588) is also within normal values, averaging (76.807).
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. WKHS’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 86, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a manufactures of high performance, medium duty trucks
Industry MotorVehicles