UK stock alert

UK

Afternoon Alert: Eckoh accelerates slide, now down 11.0% in 3 days 16 January 2018 14:43 GMT

NEWS BITES - EUROPE

Eckoh PLC (L:ECK) is down GBX5.0 (or 11.0%) over the past three trading days. After falling 2.2% on Friday, and 4.5% on Monday, the stock fell 4.7% on Tuesday to trade at GBX40.50 vs. the FTSE 100 Index that is down 0.1% in the same period.

Current indications of bearish signals that support the trend in the unusual trading:

+ The negative 1.7 MACD (Moving Average Convergence Divergence) indicator suggests a bearish signal.

+ In the United Kingdom market, the stock's relative price strength percentile is slipping at 17 for 6 months, 9 for 3 months and 5 for 1 month.

+ The price plummeted 11.0% in the last week and 11.0% in the last month.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

+ Return on Equity 8.9% [49.5%]

+ Return on Capital Employed 7.4% [14.5%]

+ Return on Assets 4.8% [9.3%]

Other Bearish Signals include:

+ Tobin's Q Ratio is 2.8. 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 3.3% in the last 3 years. This suggests the company is less profitable with a low margin of safety.

Note

Eckoh today is at a discount of 26.0% to the 12-month high of GBX54.73 on 04 Aug, 2017. It is at a premium of 12.0% to the 12-month low of GBX36.16 on 20 Mar, 2017.

Bullish Signals:

Interest cover is less leveraged at 9.6 times.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

Dividend yield of 1.2% [0.5%]

Eckoh PLC (L:ECK; LON:ECK; LN:ECK)

ISIN: GB0033359141

PermID: 4295896998

Source: www.BuySellSignals.com