GRAVITY stock: buy or sell?

GRVY stock price: $42.25 -0.75% At close on July 15th, 2019

Updated on:
July 15th, 2019

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GRAVITY shares declined -0.75% to $42.25 today. On July/3 GRVY collapsed a hair-raising -11.49%. Monday was the 3rd red session in a row, sliding in full a -4.58%.

Gravity Co., Ltd. develops and publishes online games in South Korea, Japan, the United States, Canada, Taiwan, Hong Kong, Macau, China, and internationally.

Should I buy GRAVITY stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. That's why is so important to define your own trading plan that fits your character as inversor. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

None of our preferred buy setups matches with GRAVITY stock situation right now, hence this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is GRAVITY stock a buy?

Financial institutions and banks post stock ratings everyday. Unfortunately, we couldn't find any rating for GRVY stock for the last 30 days.

GRAVITY stock analysis

Daily outlook

GRAVITY shares declined -0.75% to $42.25 today.

GRAVITY shares declined -0.75% to $42.25 today. Since price and SMA200d lines crossed down on Jun 25th, GRVY fell $-12.15 per share (-22.33%). On May, GRVY hit new all time highs, pushing higher previous ATH of $91.48 recorded on May. New ATHs are usual entry points for many trading setups as there aren't higher resistences.

GRVY stock chart (daily)

Weekly outlook

Shares of GRAVITY ended this week at $42.25 and declined a lame -0.75%. Late June GRVY plunged a spooky -27.74% in just one week. Counting this, it's been 5 red weeks in a row, sliding $-20.00 or a -30.70%.

Not so far away is the last all-time high GRAVITY marked late May, but since then it dropped a 56.22%. Since late June, when GRVY stock price broke down the 40-weeks moving avarage line, it slid $-16.70 per share (-28.33%). Stocks below the 40w moving average line are usually not recommended for average traders. Since mid January when SMA20w and SMA40w crossed up, GRVY price slipped $-1.56 per share (-3.56%).

GRVY stock chart (weekly)

GRAVITY stock price history

GRAVITY stock went public on February 8th, 2005 with a price of $55.041. Since then, GRVY stock lost a -23.20%, with a yearly average of -1.70%.

1: Adjusted price after possible price splits or reverse-splits.

GRAVITY stock historical price chart

GRVY stock reached all-time highs on May with a price of $96.50.

GRAVITY stock price target

Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, many stock price predictions are published every day by banks, financial institutions and independent analysts. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. For the last month we have not found any price forecast for GRAVITY stock by any trusted analyst.

Financials and fundamental analysis

Earnings date and Earnings per Share

After presenting its last earnings report on February, GRAVITY . As soon as we get its posted EPS from the earnings report, we will extend this report.
GRVY earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q1-n/an/an/a
2017-Q2-n/an/an/a
2017-Q3-n/an/an/a
2017-Q42018-04-27n/a1.48n/a
2018-Q12018-04-27n/a0.96n/a
2018-Q22018-07-27n/a1.72n/a
2018-Q32018-10-31n/a0.82n/a
2018-Q42019-02-15n/an/an/a
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a

Annual financial results

In 2018, GRAVITY annual revenues rocketed a super good 102.49% to $286,770.00 million dollars from $141,623.00 marked in 2017. Instead, its earnings margin (compared to revenues) appreciated to 10.96%, that is $31,443.00 million.

GRVY annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2012$57,781 M-$-12,224.00 M-21.2%-
2013$44 M-99.92%$-16.99 M-39.0%-99.86%
2014$39,889 M91,430.52%$-20,907.00 M-52.4%122,954.74%
2015$35,660 M-10.60%$-16,965.00 M-47.6%-18.85%
2016$51,396 M44.13%$657 M1.3%-103.87%
2017$141,623 M175.55%$13,319 M9.4%1,927.25%
2018$286,770 M102.49%$31,443 M11.0%136.08%

Quarterly financial results

GRAVITY posted $113,232.00 million in revenues for 2018-Q4, a 156.18% up compared to previous quarter. Reported quarter income marked $14,967.00 M with a profit margin of 13.22%. Profit margin slightly fell a -1.06% compared to previous quarter when profit margin was 14.28%. When comparing revenues to same quarter last year, GRAVITY sales marked an outstanding growth and climbed a 67.70%.
GRVY quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q1$21 M-$2 M9.3%-
2017-Q2$24 M16.01%$3 M13.2%64.40%
2017-Q3$21 M-13.63%$2 M11.4%-25.47%
2017-Q4$67,521 M327,805.55%$4,898 M7.3%209,204.61%
2018-Q1$66,311 M-1.79%$3,549 M5.4%-27.54%
2018-Q2$63,026 M-4.95%$6,615 M10.5%86.39%
2018-Q3$44,201 M-29.87%$6,312 M14.3%-4.58%
2018-Q4$113,232 M156.18%$14,967 M13.2%137.12%

GRAVITY ownership

When you are planning to buy a stock, it's always worth to overview its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For GRAVITY, 0.00% of all outstanding shares are owned by its staff.

In case of GRAVITY stock, 7.19% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for GRVY stock account 0.00%, no big difference from last month.

For a better context understanding, the next table shows ownership data compared to other related stocks:

GRVYATVIEAMSFTZNGA
Market cap$293.6 M$36.5 B$27.3 B$1,064.0 B$4.9 B
Total shares7.0 M766.0 M296.4 M7,660.0 M770.6 M
Float shares2.8 M757.4 M295.7 M7,560.0 M862.1 M
  - Institutional holdings (%)7.2%91.5%96.7%74.7%79.2%
  - Insider holdings (%)0.0%1.1%0.5%1.4%8.0%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

GRAVITY summary

Monday, July 15th, 2019
Open$42.02
Close$42.25
Day range$42.02 - $44.38
Previous close$42.57
Session gain-0.75%
Average true range$3.60
50d mov avg$65.89
100d mov avg$62.96
200d mov avg$48.88
Daily patternlt03a
Weekly pattern

GRAVITY performance

To better understand GRAVITY performance you must becnhmark its gains with other related stocks in same sector or industry. In the following table, we compare GRAVITY performance to Activision Blizzard, Electronic Arts, Microsoft and Zynga:
Stock3m6m12m
GRVYGRAVITY-31.83%-1.74%36.33%
ATVIActivision Blizza...5.19%-1.24%-39.69%
EAElectronic Arts-0.99%-0.32%-37.47%
MSFTMicrosoft13.00%29.98%32.83%
ZNGAZynga16.36%48.59%48.94%

GRAVITY competitors

We chose a few stocks to conform a list of GRAVITY competitors to examine if you are interested in investing in GRVY: