Olin Corp (NYSE: OLN) manufactures specialty chemicals like chlorine products, epoxies, and vinyl products. The company doesn’t have the best fundamental indicators, but stock moved sharply higher since the December low before pulling back in the last few weeks.
We see on the daily chart that the stock gained over 50% from its low through the high on February 21. Since that time the stock has pulled back approximately 11% but appears to have found support at its 50-day moving average.
The daily stochastic readings went from overbought to oversold during the recent pullback. The indicators did make a bullish crossover on March 7 and that could be a good sign for the stock.
The Tickeron AI Trend Prediction tool generated a bullish signal on March 6 and that signal calls for a gain of at least 4% over the next month. The signal showed a confidence level of 89% and previous predictions have been accurate 65% of the time.
Olin’s fundamentals are a mixture of above average results and below average. Earnings have grown by an average of 159% per year over the last three years while sales grew by 27% per year. Unfortunately in the most recent quarter earnings only grew by 7% and sales only grew by 1%.
The management efficiency and profitability measurements are below average with an ROE of 11.7% and a profit margin of only 1.9%.