Juniper Networks (NYSE: JNPR) announced earnings results on January 29 and the results disappointed investors. The stock gapped sharply lower the next day and it would end up losing 7.6% on the day.
The stock has rallied since the earnings report and has filled the gap in the chart that formed after the earnings disappointment. Unfortunately for investors, it looks like the recent rally that filled the gap has also created a pattern know as three falling peaks.
We see the peak in early December and then the peak in mid-January ahead of the earnings report. Now the stock looks like it is peaking here in February. The stochastic readings are in overbought territory and made a bearish crossover on February 26. This could be another bad sign for the stock.
The Tickeron AI Prediction tool generated a bearish signal on Juniper on February 25. That signal came with a confidence level of 83% and previous predictions have been accurate 71% of the time. The signal calls for a 4% decline in the stock price within the next month.
Another factor that could hurt Juniper going forward is the lack of earnings and sales growth. Over the last three years the company’s earnings have declined by an average of 4% per year while sales have declined at an average of 1% per year.
JNPR's Aroon Indicator triggered a bullish signal on July 26, 2024. 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 244 similar instances where the Aroon Indicator showed a similar pattern. In of the 244 cases, the stock moved higher in the days that followed. This puts the odds of a move higher at .
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a provider of Internet infrastructure solutions for Internet service providers
Industry TelecommunicationsEquipment