Optical Sector($CAMT, $IIVI, $GLW...) Shines with a 15.25% Weekly Gain
Optical technology, pivotal to contemporary communication and electronics, has witnessed burgeoning growth, propelling the optical sector into the limelight. The sector boasts of an expansive range of applications including optical transport networking equipment, optical inspection systems, and photonic integrated optical modules. Key players in the optical technology space include Infinera, Camtek, NeoPhotonics, and Clearfield.
Tickers in theme - CAMT, IIVI, GLW, CLFD, INFN, AAOI, VIAV
For intraday recommendations on stocks within this sector, you can refer to this robot: Swing Trader: Sector Rotation Strategy (TA&FA)
Notable Companies
Corning (NYSE:GLW) and Casa Systems (NASDAQ:CASA) emerge as the standout names in the group, further emphasizing the sector's strength and relevance.
Market Capitalization
Across the optical theme, the average market capitalization stands at 3.4B. The valuation spectrum for the theme stretches from a low of 24M, held by DYSL, to an impressive high of 27.8B championed by GLW.
Price Movements
For the optical theme, the weekly price surge averaged at 6.93%. Noteworthy movements include AAOI's sterling performance with a 64.55% growth, and on the flip side, CASA registered the steepest decline at -18.08%. Some specific weekly highlights:
- Applied Optoelectronics (AAOI, $6.75) saw a decline of -20.77% on 8/1/23.
- A week before, on 7/22/23, Applied Optoelectronics (AAOI, $7.91) faced a -13.46% dip.
- Infinera (INFN, $4.83) shone brightly as the top weekly gainer on 7/1/23, with a +6.86% leap.
Volume Dynamics
The optical theme's average weekly volume growth was clocked at 27.65%. Camtek's stock made headlines with its consistent volume increase over five consecutive days. Some impressive gains during this period include:
- A jump of 178% on 8/3/23 1:50 PM.
- A further hike of 189% the following day, 8/2/23 5:22 PM.
- And a remarkable 204% surge on 8/1/23 8:27 AM.
Fundamental Analysis Ratings
For a comprehensive evaluation, the average fundamental analysis ratings are utilized. The spectrum of these ratings ranges from 1, symbolizing the best, to 100, representing the worst.
The optical sector's robust performance and the notable companies leading the charge underscore the industry's current vitality and future potential.
On July 13, 2023, CAMT surpassed its upper Bollinger Band, often an indication of an impending price correction. Historically, stocks tend to retreat to the middle band after such a break. Investors might contemplate reducing their holdings or investigating put options. Based on A.I.dvisor's analysis of 55 comparable events, the stock witnessed a decline in 40 instances, translating to a 73% likelihood of a subsequent downturn.
On July 14, 2023, GLW's 10-day RSI Oscillator exited its overbought status. This often suggests a potential transition from a bullish phase to a bearish trend. For investors, it might be an opportune moment to consider divesting or exploring put options. When referencing Tickeron's A.I.dvisor for historical context, out of 29 similar RSI exits from the overbought zone, 23 resulted in a subsequent price decline. This establishes a 79% probability of a downward movement in the near future.
On August 07, 2023, CLFD's 10-day moving average descended below its 50-day moving average, signaling a potential downturn. Historically, when such a crossover occurred, the stock proceeded to decline in 8 out of 10 cases within the subsequent month. This trend suggests an 80% likelihood of a continued bearish trajectory for CLFD. Investors might consider this as a cue to reassess their positions.
CAMT's MACD Histogram just turned positive
The Moving Average Convergence Divergence (MACD) for CAMT turned positive on December 09, 2024. Looking at past instances where CAMT's MACD turned positive, the stock continued to rise in of 51 cases over the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on December 09, 2024. You may want to consider a long position or call options on CAMT as a result. In of 101 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
CAMT moved above its 50-day moving average on December 18, 2024 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for CAMT crossed bullishly above the 50-day moving average on December 20, 2024. This indicates that the trend has shifted higher and could be considered a buy signal. In of 13 past instances when the 10-day crossed above the 50-day, the stock continued to move higher 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 CAMT advanced for three days, in of 314 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 296 cases where CAMT Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 6 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where CAMT declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
CAMT broke above its upper Bollinger Band on December 18, 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 Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued 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 (7.955) is normal, around the industry mean (13.031). P/E Ratio (51.479) is within average values for comparable stocks, (57.567). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (3.177). CAMT has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.021). P/S Ratio (13.004) is also within normal values, averaging (63.862).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 67, placing this stock better than average.
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 steady price growth. CAMT’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
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.
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a developer of automatic optical inspection systems and related products
Industry Semiconductors