Why Veracyte, Inc. (VCYT) Stock Suddenly Spiked Today

Big changes are happening at Veracyte, Inc. (NASDAQ:VCYT), which makes the stock worth watching today. The company is among the top gainers of the stock market today, skyrocketing 4.15% or (0.97 points) to $24.35 from its previous close of $23.38. Does this growth mean it the best stock to buy right now? The shares seem to have an active trading volume day with a reported 236062 contracts so far this session. VCYT shares had a relatively better volume day versus average trading capacity of 735.36 thousand shares, but with a 42.88 million float and a -1.76% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for VCYT stock indicates that the average analyst price target is $27.67 per share. This means the stock has a potential increase of 13.63% from where the VCYT share price has been trading recently which is between $20.7785 and $23.625. There are some brokerage firms that offer lower targets than the average, with one of them, even setting their price target at $27.

The shorts are running away from Veracyte, Inc. (VCYT) stock. The latest set of short interest data was released on 30 April 2019, and the numbers show a drop in short interest in VCYT shares. While short interest still represents only 3.66% of VCYT’s float, the number of shares shorted have fallen by -41942. The number of shares shorted fell to 1529163 shares, down from 1571105 shares during the preceding fortnight. With average daily trading volumes at 355952 shares, days to cover increased to about 2.683732 days. The most recent news story about the stock that appeared in Yahoo Finance‘s news section was titled “Veracyte Names Sangeeta Bhorade, M.D., Medical Director of Pulmonology” and dated May 14, 2019.

During the recent trading session for Veracyte, Inc. (NASDAQ:VCYT), the company witnessed their stock rise $0.4 over a week and tumble down $-0.39 from the price 20 days ago. When compared to their established 52-week high of $26.8, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 05/01/19. The recent low of $6.29 stood for a -9.14% since 05/17/18, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 0.93 is also allocated to the stock. Since the beta is less than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to.

Looking at the current readings for Veracyte, Inc., the two-week RSI stands at 53.65. This figure suggests that VCYT stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current VCYT readings is similarly very revealing as it has a stochastic reading of 32.88% at this stage. This figure means that VCYT share price today is being neutral.

Technical chart claims that Veracyte, Inc. (VCYT) would settle between $24.41/share to $25.44/share level. However, if the stock price goes below the $21.56 mark, then the market for Veracyte, Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $19.75 for its downside target. The stock is currently in the red zone of MACD, with the indicator reading -0.51. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.

Analysts at Janney lowered their recommendation on shares of VCYT from Buy to Neutral in their opinion released on November 29. Janney analysts bumped their rating on Veracyte, Inc. (NASDAQ:VCYT) stock from Neutral to Buy in a separate flash note issued to investors on October 31. Analysts at Piper Jaffray lowered the stock to a Neutral call from its previous Overweight recommendation, in a research note that dated back to November 07.

VCYT equity has an average rating of 1, with the figure leaning towards a bullish end. 4 analysts who tracked the company were contacted by Reuters. Amongst them, 0 rated the stock as a hold while the remaining 4 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while no rated it as a sell. 4 analysts rated Veracyte, Inc. (NASDAQ:VCYT) as a buy or a strong buy while not a single analyst advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.

Moving on, VCYT stock price is currently trading at 0X forward 12-month Consensus EPS estimates, and its P/S ratio is 4.36 while for the average stock in the same group, the multiple is 49.5.

Veracyte, Inc. (VCYT)’s current-quarter revenues are projected to climb by nearly 28.36% to hit $29.2 million, based on current Zacks Consensus Estimate. The firm’s full-year revenues are expected to expand by over 30.61% from $92.01 million to a noteworthy $120170. At the other end of the current quarter income statement, Veracyte, Inc. is expected to see its adjusted earnings surge by roughly 50% to hit $-0.09 per share. For the fiscal year, VCYT’s earnings are projected to climb by roughly 54.84% to hit $-0.28 per share.