OSTK stock: buy or sell?

OSTK stock price: $7.36 1.38% At close on December 6th, 2019

Updated on:
December 6th, 2019

1

Overstock.com shares stepped up 1.38% to $7.36 on December 6th.

Overstock.com, Inc. operates as an online retailer in the United States. The company operates through two segments, Direct and Partner.

Should I buy OSTK stock?

Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. Following a trading plan helps to make decisions easier, quicker and with less hesitations. 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 Overstock.com 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 Overstock.com stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we gathered 5 ratings published for OSTK stock in the last month.

The general sentiment of these ratings is bullish for OSTK stock, with 4 positive ratings.
Is OSTK a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-9Maxim GroupBuyBuy
2019-8-9Maxim Groupn/aBuy
2019-7-16Maxim Groupn/aBuy
2019-7-16DA Davidsonn/aBuy
2019-3-19DA DavidsonBuyPositive

OSTK stock analysis

Daily outlook

Overstock.com shares stepped up 1.38% to $7.36 on Dec 6th.

Shares of Overstock.com stepped up a beatiful 1.38% and closed at $7.36. Since price and SMA200d lines crossed down on September, OSTK fell $-10.24 per share (-58.18%).

OSTK stock chart (daily)

Weekly outlook

Shares of Overstock.com ended this week at $7.36 and eased a fatal -3.03%. By mid November OSTK plummed a bloodcurdling -10.04% in just one week.

OSTK stock chart (weekly)

OSTK stock price history

OSTK IPO was on May 30th, 2002 at $13.69 per share1. Since then, OSTK stock sliced a -46.20%, with a yearly average of -2.70%.

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

OSTK stock historical price chart

OSTK stock reached 52-week highs on September at $29.75, and all-time highs 2018-01-08 with a price of 89.8.

OSTK stock price target is $37.40

Nobody can reliably foresee how stock prices may evolve in the future. However, many stock price predictions are published every day by banks, financial institutions and independent analysts. You should not follow the analysts' OSTK stock price predictions in the hope that they will be met as they may be wrong and not met. For the last 30 days we found 5 price forecasts for OSTK stock:
OSTK stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-8-9Maxim GroupReiterates$34.00$40.0017.6%
2019-8-9Maxim GroupRaises Target$34.00$40.0017.6%
2019-7-16Maxim GroupInitiates$75.00$34.00-54.7%
2019-7-16DA DavidsonReiteratesn/a$48.00-
2019-3-19DA DavidsonReiterates$51.00$25.00-51%
(in average)$48.50$37.40-23.0%
The price prediction for Overstock.com stock is $37.40, moving in a range between $48.00 and $25.00. In average, analysts' outlook on OSTK price target is negative, downsizing the prediction by a -23.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

Overstock.com reported astounding results for 2018-Q4 on March. Overstock.com skyrocketed Earnings per Share (EPS) by 71.60%, beating analysts of $-0.67. Overstock.com posted $-1.15.
OSTK earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q1-n/a-0.23n/a
2017-Q2-n/a-0.29n/a
2017-Q32017-11-08-0.09-0.03n/a
2017-Q42018-03-15-0.03-2.71n/a
2018-Q12018-05-08-0.87-1.74n/a
2018-Q22018-08-09-0.82-2.2n/a
2018-Q32018-11-08-0.86-1.55n/a
2018-Q42019-03-18-0.67-1.15n/a
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a

Annual financial results

In 2018, Overstock.com annual sales inched a fine 4.40% to $1,821.59 M dollars from $1,744.76 marked in 2017. By contrast, its earnings margin (compared to sales) dropped to -11.31%, that is $-206.07 million.

OSTK annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$1,300 M-$89 M6.8%-
2014$1,497 M15.16%$8.85 M0.6%-90.00%
2015$1,658 M10.74%$2.45 M0.1%-72.37%
2016$1,800 M8.57%$13 M0.7%411.94%
2017$1,745 M-3.07%$-109.88 M-6.3%-977.48%
2018$1,822 M4.40%$-206.07 M-11.3%87.54%

Quarterly financial results

Overstock.com reported $452.55 M in revenues for 2018-Q4, a 2.72% up compared to previous quarter. Reported quarter earnings marked $-42.33 million with a profit margin of -9.35%. Profit margin grew a 1.52% compared to previous quarter when profit margin was -10.88%. When comparing turnover to same quarter last year, Overstock.com sales marked a lame move and remained steady a -0.82%.
OSTK quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q1$432 M-$-5.90 M-1.4%-
2017-Q2$432 M-0.10%$-7.30 M-1.7%23.73%
2017-Q3$424 M-1.85%$-0.79 M-0.2%-89.23%
2017-Q4$456 M7.61%$-95.69 M-21.0%12,074.30%
2018-Q1$445 M-2.40%$-50.91 M-11.4%-46.80%
2018-Q2$483 M8.49%$-64.91 M-13.4%27.50%
2018-Q3$441 M-8.81%$-47.92 M-10.9%-26.17%
2018-Q4$453 M2.72%$-42.33 M-9.4%-11.68%

Overstock.com ownership

When you are planning to invest in shares of a company, it's always worth to check its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Overstock.com, 24.37% of all outstanding shares are owned by its staff.

In case of Overstock.com stock, 69.29% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for OSTK stock account 0.00%, no big difference from last month.

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

OSTKAMZNEBAYGAIAROST
Market cap$259.4 M$868.4 B$28.4 B$109.4 M$41.2 B
Total shares35.3 M495.8 M813.5 M13.0 M361.7 M
Float shares33.1 M417.4 M774.4 M11.0 M348.9 M
  - Institutional holdings (%)69.3%57.1%88.0%86.6%96.0%
  - Insider holdings (%)24.4%16.1%5.3%4.2%2.1%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

OSTK summary

Friday, December 6th, 2019
Open$7.28
Close$7.36
Day range$7.26 - $7.53
Previous close$7.26
Session gain1.38%
Average true range$0.39
50d mov avg$9.59
100d mov avg$14.22
200d mov avg$14.48
Daily patternlt03a
Weekly pattern

Overstock.com performance

To measure stock performance is always good to benchmark with competitors or related stocks. In the following table, we compare Overstock.com performance to Amazon.com, eBay, Gaia, Ross Stores, Target, TJX Companies and Walmart:
Stock3m6m12m
OSTKOverstock.com-56.45%-22.44%-57.63%
AMZNAmazon.com-4.47%-2.91%7.52%
EBAYeBay-13.31%-6.37%21.76%
GAIAGaia24.34%17.25%-27.08%
ROSTRoss Stores4.81%15.70%46.87%
TGTTarget14.50%45.93%90.25%
TJXTJX Companies7.01%16.22%34.32%
WMTWalmart4.87%14.00%31.14%

Overstock.com competitors

We chose a few stocks to conform a list of Overstock.com competitors to check if you are interested in investing in OSTK: