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April 12, 2023
Price action reveals Regal Beloit Corporation, ManpowerGroup Inc., Otis Worldwide Corp as the stocks to watch as they near pivotal price targets in the near term.
Yesterday's session summary: Markets completed a mixed session yesterday while Nasdaq slipped 0.43% and closed at 12,032. Dow Jones gained 0.29% and closed at 33,700.
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 industrials stocks and their price targets.
Buyers pushing Regal Rexnord towards its price target of $223.63; currently at $220.85
Regal Beloit Corporation's recent run now faces a major challenge as concentrated supply is likely found at $223.63 with price action currently $2.78 away.
Regal Rexnord has posted further gains as part of a 3 day trend that has already seen the stock gain $4.03. yesterday's session pointed in the same direction — after closing at $219.38 on Monday, Regal Rexnord maintained a strong bullish bias that helped the stock close higher at $220.85 yesterday. However, market bears ensured the the power transmission component maker topped out at $224.8 and that by the end of the session, the market had marked out a distinct $220.4 to $224.8 range. Trading volume totalled 122,374 which equates to around 62% of the stock's 21-day average yesterday.
Buyers pushing ManpowerGroup towards its price target of $79.38; currently at $78.89
After ending Monday at $78.62, ManpowerGroup spiked to $79.5 yesterday, dropped back to starting point range, and rallied again to $78.89. Yesterday's gains are in contrast to ManpowerGroup's bearish trend (lasting 7 days) during which it lost $3.91 of its value. Yesterday's trading volume was 188,609 shares which is under the 21-day average of 340,499.
The workforce solutions provider is now trading 8.67% below its 3-month high of $95.96. The company's market cap currently stands at $4 billion with an average daily volume of 340,499 shares.
ManpowerGroup's run now faces a challenge at $79.38, which is only 49 cents away and will be interesting to follow.
Buyers pushing Otis Worldwide towards its price target of $80.21; currently at $79.77
Pronounced bullish sentiment in the market helped the escalator pacesetter to make a notable 0.81% gain yesterday, rising 64 cents and ultimately closing at $79.77. Yesterday's gains stand in contrast to Otis Worldwide's slide (lasting 7 days) in which it lost $5.27. Trading volume totalled 1.23 million which equates to around 66% of the stock's 21-day average yesterday.
A month ago the escalator manufacturer reached a significant high of $86.93 but has consequently lost 8.97% since then. Otis Worldwide's market cap is currently $33 billion with an average daily trading volume of 1.86 million shares. So far this year, it has been under-performing the S&P by 6.11%. Otis Worldwide's last revenue report was $3.44 billion with an EPS of 75 cents.
It will be interesting to follow how Otis Worldwide's run now faces a challenge at $80.21, which is only 44 cents away.
Otis Worldwide disclosed a quarterly dividend of 29 cents per share on Thursday, February 2nd that was paid on Friday, March 10th to all shareholders of record up until Friday, February 17th. Based on current prices, the company's decision thereby provides Otis Worldwide investors with an annual dividend yield of 1.45%.
