Performance report: Trader robot generates +3.71% profit for NET last week
One such platform, "Swing trader: Top High-Volatility Stocks (TA)" has recently showcased its capabilities by delivering a remarkable gain of +3.71% while trading NET (Cloudflare, Inc.) over the course of the previous week. This article will delve into the implications of this performance and provide a technical analysis of NET's earnings results.
Bearish Signal and Potential Future Declines:
NET has experienced a downward trend over the past three consecutive days, which is often regarded as a bearish sign. Investors should closely monitor this stock for potential future declines. Examining historical data, we find that in 169 out of 208 instances where NET declined for three days, the price further decreased within the following month. This indicates that the odds of a continued downward trend are currently at 81%. Hence, caution is advised for investors considering NET as a potential investment option.
Earnings Performance:
The last earnings report for NET was released on April 27, revealing earnings per share of 7 cents, surpassing the estimated 2 cents. This positive earnings surprise indicates that the company's financial performance exceeded expectations during that period. With 880.09K shares outstanding, NET currently boasts a market capitalization of 20.70 billion dollars.
Summary:
The utilization of AI trading bots, such as those available through the "Swing trader: Top High-Volatility Stocks (TA)" platform, has proven to be a profitable venture for investors. The recent gain of +3.71% achieved while trading NET demonstrates the effectiveness of these bots in capitalizing on high-volatility stocks. However, it is important to note the bearish signal generated by NET's three-day decline and the historical data indicating a high probability of further price decreases. Investors should exercise caution and conduct thorough research before making any investment decisions regarding NET or any other high-volatility stock.
NET's Indicator enters downward trend
The Aroon Indicator for NET entered a downward trend on August 23, 2023. Tickeron's A.I.dvisor identified a pattern where the AroonDown red line was above 70 while the AroonUp green line was below 30 for three straight days. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options. A.I.dvisor looked at 118 similar instances where the Aroon Indicator formed such a pattern. In of the 118 cases the stock moved lower. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on September 15, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on NET as a result. In of 73 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for NET turned negative on September 19, 2023. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 41 similar instances when the indicator turned negative. In of the 41 cases the stock turned lower in the days that followed. This puts the odds of success at .
NET moved below its 50-day moving average on September 15, 2023 date and that indicates a change from an upward trend to a downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where NET declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where NET's RSI Indicator exited the oversold zone, of 17 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 4 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where NET advanced for three days, in of 268 cases, the price rose further within the following month. The odds of a continued upward trend are .
NET may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. NET’s price grows at a higher 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 (30.120) is normal, around the industry mean (21.026). P/E Ratio (0.000) is within average values for comparable stocks, (152.725). Projected Growth (PEG Ratio) (1.861) is also within normal values, averaging (2.638). Dividend Yield (0.000) settles around the average of (0.088) among similar stocks. P/S Ratio (16.892) is also within normal values, averaging (74.081).
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. NET’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 90, placing this stock worse than average.
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 company, which engages in the provision of cloud-based services to secure websites
Industry PackagedSoftware
NET and
Correlation & Price change
A.I.dvisor indicates that over the last year, NET has been closely correlated with DDOG. These tickers have moved in lockstep 73% of the time. This A.I.-generated data suggests there is a high statistical probability that if NET jumps, then DDOG could also see price increases.
| Ticker / NAME | Correlation To NET | 1D Price Change % | ||
|---|---|---|---|---|
| NET | 100% | -0.02% | ||
| DDOG - NET | 73% Closely correlated | +0.09% | ||
| TEAM - NET | 72% Closely correlated | +0.51% | ||
| CFLT - NET | 71% Closely correlated | +0.71% | ||
| MNDY - NET | 70% Closely correlated | -0.88% | ||
| ZS - NET | 70% Closely correlated | -1.81% | ||
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