Today’s big question for investors is, “what’s going on with DAVIDsTEA Inc. (NASDAQ:DTEA) stock? Its price is nose-diving -0.05 points, trading at $1.21 levels, and is down -3.97% from its previous close of $1.26. The shares seem to have an active trading volume day with a reported 241326 contracts so far this session. DTEA shares had a relatively better volume day versus average trading capacity of 219.69 thousand shares, but with a 13.9 million float and a -4.55% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for DTEA stock indicates that the average analyst price target is $3.48 per share. This means the stock has a potential increase of 187.6% from where the DTEA share price has been trading recently which is between $1.25 and $1.2932.
The shorts are running away from DAVIDsTEA Inc. (DTEA) stock. The latest set of short interest data was released on 30 April 2019, and the numbers show a drop in short interest in DTEA shares. While short interest still represents only 7.77% of DTEA’s float, the number of shares shorted have fallen by -72907. The number of shares shorted fell to 1007090 shares, down from 1079997 shares during the preceding fortnight. With average daily trading volumes at 318004 shares, days to cover decreased to about 7.42613 days. The most recent news story about the stock that appeared in Yahoo Finance‘s news section was titled “Edited Transcript of DTEA earnings conference call or presentation 2-May-19 8:30pm GMT” and dated May 09, 2019.
Looking at the current readings for DAVIDsTEA Inc., the two-week RSI stands at 35. This figure suggests that DTEA 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 DTEA readings is similarly very revealing as it has a stochastic reading of 19.42% at this stage. This figure means that DTEA share price today is being overbought.
Technical chart claims that DAVIDsTEA Inc. (DTEA) would settle between $1.29/share to $1.31/share level. However, if the stock price goes below the $1.24 mark, then the market for DAVIDsTEA Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $1.22 for its downside target. The stock is currently in the red zone of MACD, with the indicator reading -0.04. 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 Lake Street lowered their recommendation on shares of DTEA from Buy to Hold in their opinion released on April 13. BofA/Merrill analysts have lowered their rating of DAVIDsTEA Inc. (NASDAQ:DTEA) stock from Neutral to Underperform in a separate flash note issued to investors on December 13. Analysts at Lake Street, made their first call for the equity with a Buy recommendation, according to a research note that dated back to July 12.
Moving on, DTEA stock price is currently trading at 0X forward 12-month Consensus EPS estimates, and its P/S ratio is 0.21 while for the average stock in the same group, the multiple is 1.22.