The green channels show the inverse H&S price objective, the green dotted line shows the broken uptrend, and the red line shows a previous resistance level. The upside target is at the confluence of the three at 265.45 in mid-March. The P/E ratio is looking extended and supports a downside move at the resistance. I don’t have a downside target or even a trade planned for this setup, this idea is strictly observatory.
The revenue growth looks good but a lot of capital is being spent on R&D which is dragging down the net income. This may pay off in the long run but it is not without risk and it could weigh on the stock price in the short term.
The revenue growth looks good but a lot of capital is being spent on R&D which is dragging down the net income. This may pay off in the long run but it is not without risk and it could weigh on the stock price in the short term.