Shares of ContextLogic fell, after the company reported a wider than expected net loss for the second-quarter.
The parent of the Wish mobile e-commerce platform incurred a loss of -18 cents a share in the quarter, compared with a loss of a dime a share in the year-earlier quarter. Analysts polled by FactSet expected a GAAP net loss of -13 cents a share.
Revenue fell to $656 million in the quarter, vs. $701 million in the year-ago quarter. Analysts surveyed by FactSet expected $722.9 million.
ContextLogic indicated in a letter to shareholders that as economies reopened, the numbers of buyers installing and using the company's app decreased more than the company expected.
The year-ago comparison was difficult since the pandemic was a tailwind to the company as more people shopped online and brick-and-mortar stores were closed.
WISH saw its Momentum Indicator move below the 0 level on May 24, 2023. This is an indication that the stock could be shifting in to a new downward move. Traders may want to consider selling the stock or exploring put options. Tickeron's A.I.dvisor looked at 45 similar instances where the indicator turned negative. In of the 45 cases, the stock moved further down in the following days. The odds of a decline are at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where WISH declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for WISH entered a downward trend on May 12, 2023. 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 RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where WISH's RSI Oscillator exited the oversold zone, of 25 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 1 day, which means it's wise to expect a price bounce in the near future.
The Moving Average Convergence Divergence (MACD) for WISH just turned positive on April 25, 2023. Looking at past instances where WISH's MACD turned positive, the stock continued to rise in of 26 cases over the following month. The odds of a continued upward trend are .
Following a +1 3-day Advance, the price is estimated to grow further. Considering data from situations where WISH advanced for three days, in of 95 cases, the price rose further within the following month. The odds of a continued upward trend are .
WISH may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
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 (0.432) is normal, around the industry mean (18.894). P/E Ratio (0.000) is within average values for comparable stocks, (72.605). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (2.605). Dividend Yield (0.000) settles around the average of (0.039) among similar stocks. P/S Ratio (0.358) is also within normal values, averaging (8.407).
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. WISH’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
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. WISH’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 95, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
A.I.dvisor indicates that over the last year, WISH has been loosely correlated with JMIA. These tickers have moved in lockstep 61% of the time. This A.I.-generated data suggests there is some statistical probability that if WISH jumps, then JMIA could also see price increases.
|JMIA - WISH|
|CVNA - WISH|
|AMZN - WISH|
|W - WISH|
|RVLV - WISH|