Emergent Biosolutions (EBS) - signs of potential breakout
Emergent Biosolutions (EBS):
EBS is a clinical-stage biotechnology company developing a novel vaccine for pneumonia. The company's stock has been undervalued for some time, but it is starting to show signs of a breakout. The stock is up over 20% in the past month, and it is trading above its 50-day...
Possible Pneumonia Stocks - signs of potential breakout
Emergent Biosolutions (EBS) :
EBS is a clinical-stage biotechnology company developing a novel vaccine for pneumonia. The company's stock has been undervalued for some time, but it is starting to show signs of a breakout . The stock is up over 20% in the past month , and it is trading above its...
EBS has THE main stream Narcan that dominates the market. With increasing over doses though out America. Earnings could make this move like crazyyyyyyyy.
If it is not this earnings then it is next, this stock can pop 50-100% in one day. Its a scalp trade.
EBS is a small biotechnology company whose forte is the clean processing and manufacturing
facility that the FDA requires for certain bioprocessing to be certified for delivery of products
to end-user patients. It is not a research facility like the one in China that accidentally released
COVID and the global impact will be likely felt for another decade. ...
I usually stray away from bio/biotech b/c of how volatile it is, but $EBS seems to be established with a $800M+ market cap, strong historicals, 20 PE ratio, and seems to be getting close to bottom. They also have an exciting narcan nasal spray product that can be sold over the counter they are working on releasing in 2023. Very relevant with all the overdoses...
The price is approaching the strong level of $10.60, and there is already increased interest in this stock. This stock has been showing growth in December for many years, so it makes sense to consider buying in the $12.00-9.00 area, stop-loss at $8.5. The first target is $25, the second target is $35.
EBS is currently hitting a critical support level around the 25 levels, which has been tested multiple times as key support and resistance level since 2009.
I am planning on buying at this current level, with a very high-profit target and a tight 5% stop loss below the support level. The ATH is over 400% above the current price, so there's a lot of upside...
Considering TNXP does... well... nothing, EBS underperforming TNXP is disappointing. Still holding and will continue to buy shares if SP falls back into the gray area at $25-$32. Monthly hammer + continuation off a high volume node + 2.618 fib should indicate a trend reversal.
EBS was never a "squeeze" play because it's already worth a billion dollars....
Apparently, there will be a WHO meeting next meeting concerning how serious Monkey Pox is going to be. Potential Long Term Head and Shoulders forming. $25 is a long term support level and Monthly VPOC. Speculative trade back to the 200W MA at $60
Monkeypox has begun to expand. Vaccination is likely to increase in the coming months and this could lead to higher levels of shares of companies that produce vaccines.
1/1 line is a major Trend line
Using the Fib circles the H&S pattern becomes more evident with the LS being rejected at the 1 level
The H being formed at 1.618
and the RS being formed in the aftermath of the H formation
I expect more downsides on this weekly timeframe until the strong support level is reached, which coincides also with the 1/2 Gann level
Just broke trend, but long-term support below. I expect it to bounce and backtest the old trend, but no clue after. Could fall to $40 fib then maybe lower.
I love this as a long at some point though. Company got bad press and missed a COVID vaccine delivery after a factory was shut down. It's open now though and they still have a huge backlog of business...
EBS broke the bear trend. Always when I saw such interception of MA lines, there was a huge growth. Now white candle (D) fixed above MA 50 and EMA 14, resistance broke. All point to growth.
EBS looks like a solid buy, I am investing at current price, if it goes down then I will add around second support.
Reasons to buy:
RSI looks oversold
Stock trading at long term trendline
2021 consensus earning estimate 9.01 which means 7~ PE.
Volume is increasing which shows it is getting attention
Once the FDA will approve its facility, it will fly....
