Positive price action presents imminent price targets for these 3 stocks

Published: May 27 2023, 05:50 GMT+0

Positive price action presents imminent price targets for these 3 stocks

Pay attention to the following stocks approaching critical price targets: FedEx Corp, Zai Lab Limited, Paycom Software Inc are the ones to watch.

A quick recap of where the last trading session ended: Markets closed higher yesterday, as Nasdaq closed the day at 12,976, having gained 2.19%. S&P 500 ended the session at 4,205.45 after a 1.3% gain.

What is a Price Target?

A "price target" is an estimate of the future price of a stock based on earnings forecasts and assumed valuation multiples. Price targets are typically generated by respected market analysts who believe a stock to be fairly valued relative to its projected and historical earnings. Target prices are used to evaluate stocks and can help investors evaluate the potential risk/reward profile of a stock. Check out this rundown of stocks and their price targets.

FedEx | Price Target: $223.79 approx 36 cents away; Current Price: $224.15 Session Low: $223.9 Session High: $226.85 | Off Hours: $224.15

Grinding lower but with no clear-cut direction, the renowned transportation and delivery company closed the session at $224.15 after forming a distinct $223.9 – $226.85 range. FedEx has been dropping for 7 days, losing $5.35, with yesterday's session maintaining the downtrend. Yesterday's trading volume was 907,819 shares which is slightly below the 21-day average of 1.36 million.

FedEx hit a significant low of $142.9 around 7 months ago, but has since recovered 57.51%. The company's market cap currently stands at $56.34 billion with an average daily trading volume of 1.36 million shares. So far this year, it has been beating the S&P by 17.45%. FedEx has a forecast of $22.71 billion with an EPS of $2.64.

A persuasive break of this target could lead to higher losses.

FedEx disclosed a quarterly dividend of $1.15 per share on Friday, February 17th that was paid on Monday, April 3rd to all shareholders of record up until Monday, March 13th. Based on current prices, the company's decision thereby provides FedEx investors with an annual dividend yield of 2.05%.

Zai Lab | Price Target: $31.82 approx 13 cents away; Current Price: $31.95 Session Low: $31.77 Session High: $33 | Off Hours: $31.95

After dropping down to $31.77, the commercial stage bio-pharma company recovers some losses and is currently trading at $31.95. While mostly sideways today, Zai Lab is on a 5 day bearish trend during which it lost $2.41. Yesterday's trading volume was 303,342 shares which is lower than the 21-day average of 495,829.

The commercial stage bio-pharma company has fallen back around 38.42% from the significant high of $51.69 set 8 months ago. Zai Lab has a market cap of $3.13 billion with an average daily volume of 495,829 shares. So far this year, it has been doing worse than the Nasdaq by 16.78%. Zai Lab is forecasted to generate revenues of $73.8 million and EPS of -27.377 cents.

A convincing break of this target could pave the way for deeper losses.

Bullish momentum leaves Paycom flirting with resistance at $281.35

After testing beyond the $281.35 resistance level, Paycom price action is alternating above and below this key level.

A 5 day downtrend is ongoing for Paycom. a possible reversal detected from yesterday; after closing at $278.64 on Thursday, Paycom maintained a strong bullish bias that helped the stock close higher at $280.95 yesterday. However, market bears ensured the the human resource tech developer topped out at $285.13 and that by the end of the session, the market had marked out a distinct $280.06 to $285.13 range. Yesterday's trading volume was 366,630 shares which is under the 21-day average of 712,058.