4 Longs & 2 Shorts to Watch
Biotech and tech stocks headline our bullish charts to watch, while a dining & entertainment company and an online retailer round out the bearish side.
ImmunoGen, Inc. (IMGN) broke up out of a bull wedge consolidation, climbing 30 cents to close at $11.90 on heavy volume of 5 million shares traded Tuesday no news. The past year saw 200% growth in the stock’s value, with investors examining the long-term prospects of the company’s ovarian cancer drug that could launch in 2020. Next targets: $14 and $17.
Kopin Corporation (KOPN) closed up for the ninth day in a row and is now above its January high of $3.87. Price moved up 4.5% for the wearables technology stock, closing at $3.89 on elevated volume of 1.1 million shares traded Tuesday. The company announced its quarterly earnings last week. Short interest of more than 27 times its average volume could fuel the move as short-sellers cover on a rally. Next target: $4.25.
MINDBODY, Inc. (MB) reached a new all-time high of $43.45 intraday Tuesday before settling at $41.25 at session’s end, up $1.30 on very brisk volume of 1.3 million shares traded. The move came with news that the wellness software company has acquired Booker, an appointment-scheduling software company. From here, price could continue to ascend in into the high $40s.
Nutanix, Inc. (NTNX) reached a new all-time high of $53.67 on its eighth consecutive up-day, rising $1.56 to close at $53.04 on vigorous volume of 9.3 million shares traded. Price has rocketed up an astounding 46% in just the last two weeks. Several industry analysts raised their price targets for the hyperconvergence software company after it hosted an analyst day on Monday. Next target: $57.
On the short side, Overstock.com, Inc. (OSTK) sank nearly 10%, or $5.75, closing at $52.10 on light volume of 3.8 million shares traded Tuesday. The move came with news that the online retailer may be required to collect sales tax in the future from its customers in South Dakota. The stock’s prolific six-month trend up that started last July was broken on January 30, when its close tie to the bitcoin payment market brought its price down — and it stayed down. Although a snapback up occurred in mid-February, price failed to stay above the $68.50 resistance level. The stock has declined 40% since its January 8 high. If it cannot remain above $48 in the coming days, the next stop is $41.
Also on the short side, Dave & Buster’s Entertainment, Inc. (PLAY) rallied 61 cents to close at $45.16 on very light volume of 744,300 shares traded Tuesday. It’s been a rough nine-month slide for this stock, which began in June. Things were looking up during the holiday season, when the stock made a run up to $57, but that bull streak ended on January 5. Since then, price has formed an impressive bear flag. The stock has lost more than a third of its value since June 7. Next target: $39.