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March 11, 2023
Price action reveals Borgwarner Inc, Pool Corp, Lear Corporation as the stocks to watch as they near pivotal price targets in the near term.
A quick recap of where the last trading session ended: Leading equity indices in the US declined as S&P 500 shed 1.45% and closed at 3,861.59. Nasdaq lost 1.76% and ended the session at 11,139.
What is a Price Target?
A "price target" is an estimate of the future price of a stock based on earnings forecasts and assumed valuation multiples. Price targets are typically generated by respected market analysts who believe a stock to be fairly valued relative to its projected and historical earnings. Target prices are used to evaluate stocks and can help investors evaluate the potential risk/reward profile of a stock. Let's review some consumer_cyclical stocks and their price targets.
Borgwarner | Price Target: $47.18 approx 76 cents away; Current Price: $47.94 Session Low: $47.56 Session High: $49.47 | Off Hours: $47.94
The automotive parts supplier plunged into the red after losing 2.12%, declining to $47.94. Borgwarner has dropped $1.83 over the past 6 days; yesterday's session continued this downtrend. The day's trading volume totalled 1.70 million shares — slightly below the 21-day average of 2.34 million.
The automotive parts supplier has fallen back around 3.6% from the significant high of $50.81 set 8 days ago. Currently, the automotive parts supplier has a market capitalization of $11.22 billion with an average daily trading volume of 2.34 million shares. So far this year, it has performed better than the S&P by 17.61%. Borgwarner last reported revenue of $4.11 billion with an EPS of $1.26.
A convincing break of this target could pave the way for deeper losses.
Looking back, the firm's board declared a dividend of 17 cents per share on Thursday, February 9th for all shareholders on record up until Wednesday, March 1st. Based on current prices, the move allows shareholders to receive an annual dividend yield of 1.42% this year to be paid on Wednesday, March 15th.
Pool Corp now at $348.41 | Forthcoming price target: $5.6 lower at $342.81
Pool Corp's bearish trend is facing a possible turning point at $342.81, which is only $5.6 away. Will be interesting to follow.
A 6 day downtrend has resulted in the asset losing $12.51. with a marginal improvement upon yesterday's session, after ending yesterday at $349.04, the swimming pool enabler recovers back to $348.41 after dipping down to $342.48 earlier today. Yesterday's trading volume was 383,289 shares which is slightly under the 21-day average of 433,494.
Lear Corporation now at $135.06 | Forthcoming price target: $2.02 lower at $133.04
Lear Corporation is trending down and heading towards $133.04, which is only $2.02 away now. Hitting this support line might signal a change of direction.
Having fallen $5.07 in 6 days, yesterday's session continued down the same path: the automotive seating and electricals company plunged into the red after losing 1.83%, declining to $135.06. Daily trading volume (684,853 shares) increased, making up 120% of the 21-day average (569,569).
