At Home Group Inc. (HOME)

At Home stock forecast: buy or sell

At Home stock outlook

  • At Home closed yesterday at $5.96 after skyrocketing a 2.76%.
  • The stock is configuring an uptrend pattern since mid-March, when it bottomed at $1.20. Up to date, shares marked a 396.67% gain since the beginning of this rally
  • At Home Group Inc. operates home decor superstores in the United States.
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Important:
The viewpoints expressed in this post are personal and not recommendations for you to buy or sell shares. The author of this paper does not have an understanding of the specific situations of the reader, his or her financial statements or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are expressed for education motives only

At Home stock chart overview

Should I buy At Home stock?

All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best

Is HOME stock a buy?

Currently, At Home stock matches one trading strategy:

Uptrend buy setup

At Home stock continues to trend higher since in mid-March and marked an amazing 396.67% gain. Price marked a pull back in this uptrend at $5.72 on Thursday, and since then it bounced off a 4.2%. Breaking out over $8.42 - it's last top - will be a good entry point if At Home resumes the uptrend. If you decide to enter this trade, the suggested stop loss is at $7.58

Buy setupBuy pointStop lossRisk
Uptrend buy setup$8.42$7.5810%
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Should I sell At Home stock?

"To sell or not to sell", if you are holding At Home shares?. In the same way as when we have to buy shares, deciding when is the best time to sell is not a haphazard decision, and we must adhere our own trading strategy. We like very simple strategies to guide us on when is the best time to sell our shares. Be aware that these strategies are not intended for selling short At Home stock

As a rule of thumb, you must never keep an investment that shows a losses greater than those expected upon the buy. The moment to sell shares should always be ruled by the stop-loss (automatic or manual)

Is it time to sell At Home stock?

In the current situation of At Home there is not any eligible sell setup, so At Home stock holders with operations in profit can keep their positions

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Analysts' recommendations to buy or sell At Home stock

Brokerage firms and financial institutions post stock ratings based on their views of the market and the fundamental and technical situation of the analyzed stock. Unfortunately, the accuracy of these predictions is not very high, and certainly not a direct buy or sell signal

In the last month, 4 ratings were published for At Home

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At Home ratings

Brokerage firmRating
Jun 18th, 2020
Wells Fargo & Co Neutral
Jun 19th, 2020
Bank of America Strong sell
Jun 19th, 2020
Loop Capital Neutral
Jun 22nd, 2020
Morgan Stanley

Technical analysis

Since in mid-March, At Home has been drawing an uptrend that so far marked an amazing 396.67%. Rising tops and bottoms can be seen easily on a chart and how price provided very few entry points on the breakouts. Latest pullback was on Thursday, when price bounced at $5.72. Like in all uptrends, price needs to rest and now price is consolidating the gains in a range between $8.42 and $5.72

SMAs overview

A favorite tool of many technical analysts are the moving averages, that easily show market direction. A moving average is the average price of a stock over a set period of time. Moving averages are usually calculated on different periods depending on the trading timeframe 21, 50, 100 and 200 days are the most usual moving averages. You can found more about Moving Averages from sources like Wikipedia and Investopedia

Supports and resistances

Technical analysts use supports and resistances as a way to spot price points on a chart that tend to work as obstacles, preventing the price of an asset to move up or down. A support level is a level where the price may find support as it falls. This means that the price is more likely to "bounce off" this level rather than break through it. Nevertheless, if the price breaks down the support, it will probably continue descending until approaching another support level. On the contrary, resistance levels are where the price may find resistance as it rises. Again, the price is more likely to "rebound" at this level, and if it finally crosses this level, it will climb easily until it finds the next resistance

The current resistances are:

  • R1: $6.47 (8.56% above)
  • R2: $6.54 (9.73% above)
  • R3: $7.38 (23.83% above)
  • The current supports are:

  • S1: $5.72 (-4.03% below)
  • S2: $5.54 (-7.05% below)
  • S3: $5.01 (-15.94% below)
  • Bollinger bands

    So-called Bollinger bands are a well-known studio developed by John Bollinger. It consists of 3 bands that are drawn superimposed on the price evolution chart:

    • The central band is a moving average, usually a simple moving average calculated with 20 periods
    • The upper band is calculated by adding to the value of the simple moving average 2 times the standard deviation of the moving average
    • The lower band is calculated by subtracting from the simple moving average 2 times the standard deviation of the moving average

    Relative strength index

    The relative strength index (RSI) is a technical indicator used in the analysis of financial markets. It is intended to chart the current and past strength or weakness of a stock or market based on the closing prices of a recent trading period. Like other oscillation indicators, the RSI moves between 0 and 100. J. Welles Wilder introduced the relative strength indicator in the late 1970s and since then it has been widely used by investors

    The RSI dropped below the overbought level of 70 on June 19 after just crossing to the overbough zone for 1 day (weak signal). The RSI reading yesterday was 46.97. Since then, At Home shares dropped a 23.29%

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    Earnings and financials

    At Home had the earnings call and posted the second-quarter report on June 18. At Home reported Q2 earnings of $-0.61 per share on revenue of $189.9 million. The analysts estimate was $-0.42 per share on revenue of $194.2 million.

    This compares to earnings of $0.03 per share same quarter last year, so posted EPS is a decrease of -2133.33%. Sales dropped a -38.01% on an annualized basis in the 2nd-quarter, from $306.3M to $189.9M last quarter.

    At Home will host the Q3 earnings call next September. Market forecasts a per-share earnings of %s of $-0.11, compared to previous quarter that was $-0.61. Financial reporting day has a more than usual risk for investors as the information posted can jump up or down the price with exceptionally low liquidity and not honouring your buy/stop-loss orders. You can obtain more details about the earnings conference call and the earnings reports on the Investor Relations section of its website: http://www.athome.com.

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