Tickeron's Month-Long Run: 5.51% Growth for MU from Robot Factory
Swing Trader: Deep Trend Analysis v.2 (TA), an AI trading robot, has proven to be one of the top performers in our robot factory. Over the previous month, it achieved a remarkable gain of 5.51% while trading MU. In this article, we will explore the recent bullish signal generated by MU's Aroon Indicator on May 26, 2023, and delve into the analysis conducted by Tickeron's A.I.dvisor. Additionally, we will discuss MU's latest earnings report and its potential impact on the market.
Bullish Signal Detected by Aroon Indicator: Tickeron's A.I.dvisor utilized the Aroon Indicator to identify a bullish signal for MU. The AroonUp green line is currently above 70, indicating a strong upward trend, while the AroonDown red line remains below 30, indicating a weak downward trend. This combination suggests that MU may be primed for a bullish move.
Historical Analysis: To validate the significance of this pattern, A.I.dvisor examined 227 instances where the Aroon Indicator exhibited a similar configuration. In 171 out of these 227 cases, the stock price moved higher in the following days. This historical analysis reveals a success rate of approximately 75%, indicating favorable odds for a potential upward movement in MU's stock.
Implications for Traders: Based on the bullish Aroon Indicator signal and the historical analysis, traders may consider two possible strategies. Firstly, they could opt to buy MU's stock, anticipating a potential price increase. Alternatively, traders might explore the purchase of call options, which provide the right to buy the stock at a predetermined price within a specified timeframe. Both approaches align with the expected bullish move indicated by the Aroon Indicator.
Earnings Report Analysis: MU's most recent earnings report, released on March 28, displayed earnings per share of -190 cents, missing the estimate of -66 cents. The reported loss was higher than anticipated, which may have impacted investor sentiment. With 33.28 million shares outstanding, MU's current market capitalization stands at 80.91 billion dollars.
Swing Trader: Deep Trend Analysis v.2 (TA) has proven its effectiveness in generating gains, with a notable 5.51% increase while trading MU over the previous month. The Aroon Indicator, as detected by Tickeron's A.I.dvisor, has signaled a potential bullish move for MU, with the odds of a higher stock price estimated at 75% based on historical analysis.
MU sees MACD Histogram crosses below signal line
MU saw its Moving Average Convergence Divergence Histogram (MACD) turn negative on September 21, 2023. This is a bearish signal that suggests the stock could decline going forward. Tickeron's A.I.dvisor looked at 48 instances where the indicator turned negative. In of the 48 cases the stock moved lower in the days that followed. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The 10-day RSI Indicator for MU moved out of overbought territory on September 15, 2023. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 35 similar instances where the indicator moved out of overbought territory. In of the 35 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on September 20, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on MU as a result. In of 103 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 MU 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 Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 3 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.
MU moved above its 50-day moving average on August 29, 2023 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for MU crossed bullishly above the 50-day moving average on September 01, 2023. 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 MU advanced for three days, in of 303 cases, the price rose further within the following month. The odds of a continued upward trend are .
MU may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 243 cases where MU Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Fundamental Analysis (Ratings)
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding 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 Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. MU’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 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 (1.654) is normal, around the industry mean (7.944). P/E Ratio (47.369) is within average values for comparable stocks, (53.779). Projected Growth (PEG Ratio) (1.113) is also within normal values, averaging (2.342). Dividend Yield (0.007) settles around the average of (0.022) among similar stocks. P/S Ratio (4.136) is also within normal values, averaging (72.586).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 63, placing this stock slightly better than average.
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.
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Industry description
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Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a manufacturer of advanced semiconductor solutions such as DRAMs, NAND flash memory, CMOS image sensors, other semiconductor components and memory modules
Industry Semiconductors
MU and
Correlation & Price change
A.I.dvisor indicates that over the last year, MU has been closely correlated with MCHP. These tickers have moved in lockstep 69% of the time. This A.I.-generated data suggests there is a high statistical probability that if MU jumps, then MCHP could also see price increases.