GRAVITY stock: buy or sell?

GRVY stock price: $83.40 2.16% At close on May 21st, 2019

Updated on:
May 21st, 2019

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After reaching all time highs on May/14, GRAVITY escalated 2.16% today to $83.40. On May/14 GRVY boosted an exceptional 10.62%. Yesterday GRVY collapsed a hair-raising -6.20%.

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?

You can't be a successful trader if you don't follow a methodolgy or system that assist you in choosing companies and the correct market timing. That's why is so important to define your own trading strategy 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, therefore 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?

Banks and financial institutions post stock ratings everyday. Unfortunately, we couldn't detect any rating for GRVY stock for the last 30 days.

GRAVITY stock analysis

Daily outlook

After sliding a hair-raising -6.20% yesterday, GRAVITY closed today at $83.40 and escalated an excellent 2.16%.

After sliding a hair-raising -6.20% yesterday, GRAVITY closed today at $83.40 and escalated an excellent 2.16%. On January, SMA100d and SMA200d crossed up triggering a rise of 123.89%. From a daily outlook perspective, GRVY is drawing an uptrend of rising tops and rising bottoms. Since its last top on May 14th at $88.80, price slid and found support around $79.66. Breaking down under $79.66 would cancel the current uptrend and it might slide further to test lower supports. Note that $88.80 might act as a resistance line. If GRAVITY breakouts over $88.80 with average or higher volume, this would be a signal that the uptrend resumes. On May/14, GRVY hit new all time highs, pushing higher previous ATH of $78.50 recorded on May/13. New ATHs are usual entry points for many trading setups as there aren't higher resistences. Since February when GRVY stock price broke up the SMA50d line, it gained $47.90 (134.93%).

GRVY stock chart (daily)

Weekly outlook

After boosting an amazing 22.51% in a week last week, GRAVITY closed this week at $83.40 and slipped a godawful -3.81%. This week broke a green streak of 4 weeks.

GRAVITY stock is trading in the range of its last top and last bottom. Loosing would mean breaking the current uptrend. Breakdowns under last bottom are selling point signals for some trading strategies. Not so far away is the last all-time high GRAVITY marked last week. By mid January, SMA20w and SMA40w crossed up triggering a rise of 90.37%. Since late October 2018 when GRVY stock price broke up the SMA40w line, it gained $60.28 (260.73%).

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 grew a 51.50%, with a yearly average of 3.70%. If you had invested $1,000 in GRAVITY stock in 2005, it would worth $515.00 today.

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

GRAVITY stock historical price chart

GRVY stock reached all-time highs on May/14 with a price of $88.80.

GRAVITY stock price target

How much a stock will be priced tomorrow or next week is quite unpredictable 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 detected any price target for GRAVITY stock by any trusted analyst.

Financials and fundamental analysis

Earnings date and Earnings per Share

Since last February, when GRAVITY published its last earnings report, it rocketed an outstanding 58.37%. 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

Compared to 2017, last anual turnover report draw an exceptional gain of 102.49% to $286,770.00 M USD. When comparing 2018 vs 2017, in contrast, profit margin (that is, the net income divided by revenues) gained a 1.56% to 10.96%.

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 reported $113,232.00 M in sales for 2018-Q4, a 156.18% up compared to previous quarter. Reported quarter earnings marked $14,967.00 million with a profit margin of 13.22%. Profit margin depreciated a -1.06% compared to previous quarter when profit margin was 14.28%. When comparing turnover to same quarter last year, GRAVITY sales marked a dazzling increase 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 invest in a company, it's always worth to check its ownership structure.

GRAVITY shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.00% of all shares.

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.

The following table compares ownership indicators for other stocks related to GRAVITY:

GRVYATVIEAMSFTZNGA
Market cap$579.6 M$33.3 B$28.7 B$972.1 B$5.8 B
Total shares7.0 M766.0 M299.6 M7,660.0 M935.3 M
Float shares2.8 M757.5 M297.5 M7,560.0 M862.4 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

Tuesday, May 21st, 2019
Open$83.00
Close$83.40
Day range$81.98 - $84.47
Previous close$81.64
Session gain2.16%
Average true range$5.02
50d mov avg$66.88
100d mov avg$55.96
200d mov avg$41.07
Daily patternlb03a
Weekly pattern lt06a

GRAVITY performance

Stocks performance is always measured in comparision to the market or competitors and related stocks in the same industry. We chose Activision Blizzard, Electronic Arts, Microsoft and Zynga as the bechmarking frame for GRAVITY stock.
Stock3m6m12m
GRVYGRAVITY76.66%138.63%144.57%
ATVIActivision Blizza...5.54%-12.49%-38.71%
EAElectronic Arts-0.28%15.70%-27.46%
MSFTMicrosoft14.78%24.11%31.11%
ZNGAZynga22.66%77.30%47.96%

GRAVITY competitors

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