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Opera Limited (OPRA)

Opera stock forecast: buy or sell

Close on Sep 25th, 2020
$9.62 0.01%
3 months performance
0.15%
Published: September 26th, 2020 - 09:50

Opera stock outlook

  • Counting yesterday, it's been 5 consecutive sessions in red for Opera. Price closed yesterday at $9.62 after merely changing a 0.52%.
  • From the chart point view, price is drawing an scaled downtrend since mid-July with lower tops and lower bottoms. this downtrend marked a -16.28% loss(from its highs at $11.49).
  • The price is currently above the upper Bollinger band, which is usually an indicator of a near-term correction
  • Opera Limited, together with its subsidiaries, provides mobile and PC web browsers.

Disclaimer:
The comments expressed in this article are personal and should not be followed as recommendations for you to buy or sell stocks. The author of this document does not know the particular scenarios of the reader, his or her finances 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 expressed for learning reasons only

Opera stock charts

Should I buy Opera 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. 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 OPRA stock a buy?

In the current situation of Opera there is not any eligible buy setup. This doesn't mean we expect a selloff for OPRA in coming sessions, or that it may not rise higher. Simply, it doesn't match our recommended trading systems

Should I sell Opera stock?

When you own a stock with some profit, it's really hard to decide the good moment to sell and get your benefits. Trading strategies allow us to avoid impulsive decisions based on our emotions or the noise surrounding the market. When selling, as well as buying, detailed strategies are very easy to use and are only valid for selling stocks in your porfolio, not for shorting OPRA stock

As a rule of thumb, you must never hold a trading operation that results in higher than expected losses upon purchase. The timing to sell shares always has to be ruled by the stop-loss (automatic or manual)

Is it time to sell Opera stock?

Currently, Opera stock doesn't match any of our preferred sell setups, so if you own Opera shares and your operation is in profit probably is not time to sell now

Analysts' recommendations to buy or sell Opera 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 Opera

Technical analysis

Opera accumulates a price drop of -16.28% since its latest peak mid-July at $11.49. Like in all downtrends, the stock oscillates drawing lower tops and bottoms. In this case, we have seen 2 consecutive lower tops

SMAs overview

A favorite tool of many traders are the moving averages, that easily show trend momentum. 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

OPRA SMAs chart

Supports and resistances

Traders use support and resistance levels as a way to spot price points on a chart that tend to act as barriers, containing the price of a stock 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 "rebound" this level rather than break through it. Nevertheless, if the price breaks down the support, it is likely to continue falling until finding another support level. On the other side, resistances are where the price may find resistance as it moves up. Likewise, this means that the price is more liable to "rebound" at this level, and if it finally breaches this level, it will rally easily until it approaches the next resistance

The current resistance levels are:

  • R1: $10.24 (6.44% above)
  • R2: $10.69 (11.12% above)
  • R3: $10.91 (13.41% above)
  • The current supports are:

  • S1: $9.61 (-0.1% below)
  • S2: $9.19 (-4.47% below)
  • S3: $8.80 (-8.52% below)
  • Bollinger bands

    This is an indicator that was introduced in the 1980s by John Bollinger. Basically, the Bollinger Bands are lines that move around a centralmoving averagediffering in distance from the bottom to the top depending on market volatility. They are usually plotted by an offset of two standard deviations, above and below, from a moving average line. Bollinger himself recommends the moving average period to be 20

    Price readings above or below the Bollinger Bands signal that the price has followed a strong trend that has led to extreme highs or lows. At this point, the price is above the upper band, and that should mean a possible short-term adjustment (at least) until it is below the band

    OPRA RSI chart

    Relative strength index

    The relative strength index (RSI) is a technical indicator used in the analysis of stock markets. It is intended to chart the current and previous strength or weakness of a stock or market based on the closing prices of a recent trading period. Oscillator indicators, such as relative strength, are designed to indicate values in the range of 0-100. 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 RSI crossed up the oversold level of 30 in late August after just being in the oversold zone for just one day (what can be considered a strength signal). The RSI value yesterday was 60.5. Since then, Opera stock exploded a 24.94%

    OPRA RSI chart

    Earnings and financials

    Opera Limited (OPRA) reported quarterly earnings of $0.17 per share, significantly upping the analysts consensus estimate of $0.01 per share. Forecasted revenue was $61.0 million but Opera slightly worsened by 9.15%, posting $55.4 million.

    Same quarter one year ago, reported EPS was $0.05, so current EPS means an increase of 240%. Sales fell a -10.19% on an annualized basis in the 2nd-quarter, from $61.7M to $55.4M last quarter.

    Opera will host the earnings call next November. Wall Street analysts estimate earnings of %s a share of $0.06, that is a 64.71% lower than Q2. If you own or you are considering buying Opera stock, you must be aware that the earnings reporting day usually has a higher than usual volatility, and price can soar and sink with unsually low liquidity and not honouring your buy or stop-loss orders. You can probably obtain more information about the earnings conference call and the financial reports on the Investor Relations section of its website: http://www.opera.com.

    OPRA revenues and profits chart