The financial world is evolving rapidly, and artificial intelligence (AI) trading robots are at the forefront of this revolution. Among the leading AI-driven bots, the "Trend Trader: Popular Stocks (TA&FA)" has emerged as a bot factory that recently achieved an outstanding +4.49% gain while trading PYPL (PayPal Holdings Inc.) during the previous week. This remarkable feat can be attributed to a timely bullish signal generated by PYPL's Aroon Indicator on July 19, 2023.
The Power of the Aroon Indicator:
The Aroon Indicator, a prominent technical tool, holds the key to identifying trends and potential reversals in stock prices. Leveraging the advanced capabilities of Tickeron's A.I.dvisor, traders detected a bullish signal in PYPL as the AroonUp green line crossed above 70, while the AroonDown red line remained below 30. This configuration signaled a bullish setup, suggesting the stock might witness an upward price movement. For astute traders, this served as an opportunity to either purchase the stock or explore call options.
Insights from A.I.dvisor's Thorough Analysis:
A.I.dvisor's credibility lies in its comprehensive examination of historical data. In this case, it conducted an in-depth analysis by evaluating 300 instances with a similar Aroon Indicator pattern. Remarkably, the stock price rose in 77% of these cases (231 out of 300) in the days following the signal. Such a strong historical success rate provides substantial support to the current bullish outlook for PYPL.
Earnings Report and Market Capitalization:
Beyond technical indicators, fundamental factors play a pivotal role in influencing a stock's trajectory. PYPL's last earnings report, dated May 08, revealed impressive earnings per share of $1.17, surpassing the estimated figure of $1.10. This robust financial performance highlights the underlying strength and growth potential of the company. Notably, with 6.29 million shares outstanding, PYPL's current market capitalization stands at an impressive $82.98 billion.
AI trading robots are undoubtedly reshaping the financial landscape, as evident from the remarkable +4.49% gain accomplished with PYPL through the Trend Trader: Popular Stocks (TA&FA) bots. The strategic integration of technical indicators, such as the Aroon Indicator, backed by the analytical prowess of Tickeron's A.I.dvisor, empowers traders to identify potentially profitable opportunities in the dynamic market.
PYPL's Aroon Indicator triggered a bullish signal on September 19, 2023. Tickeron's A.I.dvisor detected that the AroonUp green line is above 70 while the AroonDown red line is below 30. When the up indicator moves above 70 and the down indicator remains below 30, it is a sign that the stock could be setting up for a bullish move. Traders may want to buy the stock or look to buy calls options. A.I.dvisor looked at 307 similar instances where the Aroon Indicator showed a similar pattern. In of the 307 cases, the stock moved higher in the days that followed. This puts the odds of a move higher at .
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where PYPL's RSI Oscillator exited the oversold zone, of 27 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for PYPL just turned positive on August 25, 2023. Looking at past instances where PYPL's MACD turned positive, the stock continued to rise in of 47 cases over the following month. 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 PYPL advanced for three days, in of 318 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 61 cases where PYPL's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
The Momentum Indicator moved below the 0 level on September 18, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on PYPL as a result. In of 84 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent 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 PYPL 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 Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable 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 Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. PYPL’s price grows at a lower 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 significantly 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 (3.473) is normal, around the industry mean (4.101). P/E Ratio (17.422) is within average values for comparable stocks, (27.924). Projected Growth (PEG Ratio) (0.492) is also within normal values, averaging (3.211). PYPL has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.048). P/S Ratio (2.476) is also within normal values, averaging (10.880).
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. PYPL’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 83, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a provider of digital and mobile payments on behalf of consumers and merchants
A.I.dvisor indicates that over the last year, PYPL has been loosely correlated with RKT. These tickers have moved in lockstep 49% of the time. This A.I.-generated data suggests there is some statistical probability that if PYPL jumps, then RKT could also see price increases.