MDU Resources Group, Inc. (MDU)

MDU stock forecast: buy or sell

MDU stock outlook

  • MDU Resources Group Inc. (Holding Compan closed today at $21.83 after sinking a -3.41%.
  • The stock is configuring an uptrend pattern since last March, when it bottomed at $14.74. This uptrend marked a 48.1% gain
  • The price is currently below the lower Bollinger band, which is usually an indicator of a near-term bounce that you should not try to trade
  • MDU Resources Group, Inc. engages in regulated energy delivery, and construction materials and services businesses in the United States.
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Important:
The comments written 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 conditions of the reader, his or her financial statements or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Viewpoints are published for educative purposes only

MDU stock charts overview

Should I buy MDU Resources Group Inc. (Holding Compan 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 MDU stock a buy?

In the current situation of MDU Resources Group Inc. (Holding Compan there is not any eligible buy setup. This doesn't mean we expect a selloff for MDU in the next few days, or that it may not rise higher. Simply, it doesn't match our recommended trading systems

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Should I sell MDU Resources Group Inc. (Holding Compan stock?

How to know when is it time to sell MDU Resources Group Inc. (Holding Compan?. In the same way as when we have to buy shares, deciding when is the best time to sell is not a capricious decision, and we must adhere our own trading style. Our trading system selects very simple strategies to guide us on when is a good moment to sell our shares. Be aware that these strategies should not be used for selling short MDU stock

As a rule of thumb, you should not mantain an operation that results in losses greater than those expected by the time of purchase. The timing to sell shares should always be determined by the stop-loss (automatic or manual)

Is it time to sell MDU Resources Group Inc. (Holding Compan stock?

Currently, MDU Resources Group Inc. (Holding Compan stock doesn't match any of our preferred sell setups, so if you own MDU Resources Group Inc. (Holding Compan stock and your operation is in profit probably is not time to sell now

Price broke down below last bottom

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Analysts' recommendations to buy or sell MDU Resources Group Inc. (Holding Compan 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

We don't have any rating published in the previous month for MDU Resources Group Inc. (Holding Compan

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Technical analysis

MDU Resources Group Inc. (Holding Compan stock started an uptrend last March, and grew an amazing 48.1%. The price action shows higher peaks and higher lows, and along the way gave some buy points for those who wanted to invest. Latest low was in mid-August, when price bounced at $21.86. Today, the uptrend got broken when price dropped under the $21.86 support

SMAs overview

Moving averages are indicators for investors to measure 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

Supports and resistances

Market investors use supports and resistances to find price points in the stock price action that may work as glass ceiling, containing the price of shares to move in certain direction. A support level is a level where the price tends to find support as it falls. Price is more likely to "bounce off" this level rather than break through it. However, if the price breaks down the support, it will probably continue falling until finding another support level. On the other hand, resistances are where the price tends to find resistance as it moves up. Likewise, this means that the price is more likely to "bounce off" at this level, and if it finally breaks this level, it will climb easily until it hits the next resistance

The current resistance levels are:

  • R1: $21.86 (0.14% above)
  • R2: $22.20 (1.69% above)
  • R3: $22.27 (2.02% above)
  • The current supports are:

  • S1: $21.71 (-0.55% below)
  • S2: $21.70 (-0.6% below)
  • S3: $21.61 (-1.01% below)
  • Bollinger bands

    This is an indicator that was introduced in the 1980s by John Bollinger. It is made up of three lines that are 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

    Price levels both above or below the Bollinger Bands indicate that the price has has trended strongly to extreme highs or lows. In this case, the price is below the upper band, which should mean a near-term bounce (at least) until it is back above the band

    Relative strength index

    The relative strength index (RSI) is a technical indicator used in the analysis of financial markets. It is intended to plot the current and historical strength or weakness of a stock or market based on the closing prices of a recent trading period. Like other oscillation indicators, the RSI fluctuates between 0 and 100. The relative strength indicator is one of the best known and most widely used indicators, and it was invented by J. Welles Wilder in the late 1970s

    The Relative Strength Indicator (RSI) has been between the levels of 70 and 30 for several weeks, and therefore, without this indicator really being helpful in making any decisions.

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    Earnings and financials

    MDU Resources Group, Inc. (MDU) posted adjusted EPS for the fiscal Q2 that significantly improved Market expectations. Quarterly EPS was $0.50 per share versus $0.29. This Q2 report represents an earnings surprise of 72.41%. On the contrary, reported sales were $1.4 billion, aligned with analysts' estimates.

    Same quarter last year, reported EPS was $0.31, so recently reported EPS is an increase of 61.29%. Looking at turnover, figures barely changed compared to $1.3B year over year.

    MDU will host the Q3 earnings call on late next October. Analysts expect earnings of %s per-share of $0.63, that is a 26% more than Q2. Financial reporting day has an additional risk for traders as the information posted can soar and sink the shares price with lower liquidity and not honouring your buy or 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.mdu.com.

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