Satoshi Nakamoto Blog
Image default

Glu Mobile Extends Breakout After Analyst Upgrade

Glu Mobile Inc. (GLUU) shares rose nearly ten percent during Wednesday’s session before giving up some ground after a favorable analyst upgrade. 

Roth Capital upgraded the stock to a Buy with a $7 per share price target on improved bookings traction. Analyst Darren Aftahi’s third quarter bookings model is tracking favorably above the midpoint of guidance and a nice favorable risk-reward setup could set up the stock for better-than-expected performance. The price target reflects a 32 percent premium to the market price near the open on Wednesday.

In early August, many analysts lowered their ratings and price targets on the stock following weak guidance after its solid second quarter financial results. The company delayed the launch of Disney Sorcerer’s Arena and experienced weaker than expected performance from WWE Universe. While these setbacks were disappointing, many analysts remain confident that the company could see a boost moving into 2020.

Traders should watch for some consolidation below the 50-day moving average near $5.83 over the coming sessions. If the stock breaks out from that level, it could close the gap with a move to $7.50 over the intermediate term. If the stock rebounds lower, it could re-test its August lows near $4.00 before attempting another move higher. The bull case seems to remain intact for now, however, ahead of Q3 results.

Chart courtesy of Author holds no position in the stock(s) mentioned except through passively managed index funds.

Source link

Related posts

Health warnings came months earlier


Rothschild warns of financial hit from coronavirus outbreak — RT Business News


Money Habits of the Millennials


Google teases Adidas, Electronic Arts smart clothing product for March 10


BenQ Announces Display and Projector Classroom Solutions at EDUCAUSE 2019


Targeted cyberattacks surpass mass attacks for 2019