German stock alert
Afternoon Alert: Zalando down 3.5% in 2 days 18 October 2017 13:14 CEST
NEWS BITES - EUROPE
Zalando SE (ETR:ZAL) extended its slide on Wednesday, shedding an additional EUR1.19 (or 2.7%) to trade at EUR43.03. Trading volume was 11% of average so far today. The shares have fallen EUR1.56 (or 3.5%) over the past two trading days vs. the DAX Index which has risen 0.4% in the same period.
Current indications of bearish signals that support the trend in the unusual trading:
+ The price dropped 3.4% in the last week.
Other Bearish Signals include:
+ Tobin's Q Ratio is 4.2. Compared with the rest of the market the stock is overvalued and ranks in the bottom quartile of stocks by value of Q Ratio.
+ Net profit margin has averaged 3.2% in the last 3 years. This suggests the company is less profitable with a low margin of safety.
+ As per the Du Pont analysis, Return on Equity of 8.6% is lower than sector average of 9.0%.
The stock has underperformed 54% of the Xetra market over the past 6 months.
The positive 0.86 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.
The 5.4% discount to 12-month high of EUR45.48 against the 28.3% premium to 12-month low of EUR33.55 suggests the stock continues to push for new highs.
Zalando SE (DE:ZAL; ETR:ZAL; GR:ZAL)