Provided Content: Content provided by Barchart. The Globe and Mail was not involved, and material was not reviewed prior to publication.
Chart of the Day: Vipshop - Chinese Internet Retailer
The Chart of the Day belongs to the Chinese internet retailer Vipshop (VIPS). I found the stock by using Barchart's powerful screening functions to find stocks with the highest technical buy signals, highest Weighted Alpha, superior current momentum and having a Trend Seeker buy signal then used the Flipchart feature to review the charts for consistent price appreciation. Since the Trend Seeker signaled a buy on 11/14 the stock gained 53.41%.
VIPS Price vs 20,50,100 DMA ( )
Vipshop Holdings Limited operates online platforms for various brands in the People's Republic of China. It operates in Vip.com, Shan Shan Outlets, and Others segments. The company offers women's apparel, such as casual wear, jeans, dresses, outerwear, lingerie, pajamas, and maternity clothes; men's apparel comprising casual and smart-casual T-shirts, polo shirts, jackets, pants, and underwear; and skin care and cosmetic products, including cleansers, lotions, face and body creams, face masks, sunscreen, foundations, lipsticks, eye shadows, and other cosmetics-related items. It also provides shoes and bags, which comprises casual and formal shoes, purses, satchels, luggage, duffel bags, and wallets; handbags; apparel, gears and accessories, furnishings and decor, toys, and games for boys, girls, infants, and toddlers; sportswear, sports gear, and footwear for various sporting activities; home furnishings, such as bed and bath products, home decor, kitchen and tabletop items, and home appliances; and consumer electronic products. In addition, the company offers food and snacks, beverages, fresh produce, and pet goods; beauty products; and internet finance services, including consumer and supplier financing, and microcredit. Vipshop Holdings Limited provides its branded products through its vip.com and vipshop.com online platforms, as well as through its internet website and cellular phone application. Further, it offers warehousing, logistics, product procurement, research and development, technology development, and consulting services; software development and information technology support solutions; and supply chain services. Vipshop Holdings Limited was founded in 2008 and is headquartered in Guangzhou, the People's Republic of China.
Barchart's Opinion Trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 20 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report.
Barchart Technical Indicators:
- 100% technical buy signals
- 56.70+Weighted Alpha
- 59.63% gain in the last year
- Trend Seeker buy signal
- Above its 20, 50 and 100 day moving averages
- 18 new highs and up 39.08% in the last month
- Relative Strength Index 70.90%
- Recently traded at $13.49 with 50 day moving average of $9.89
Fundamental Factors:
- Market Cap $9.19 billion
- Revenue expected to decrease 9.60% this year but up by 6.20% next year
- Earnings estimated to increase 22.50% this year, but down by .7% next year and continue to compound again at an annual rate of 1.52% for the next 5 years
Analysts and Investor Sentiment -- I don't buy stocks because everyone else is buying but I do realize that if major firms and investors are dumping a stock it's hard to make money swimming against the tide:
- Wall Street analysts have 8 strong buy, 3 buy and 10 hold opinions in place on this stock
- Analysts have price targets from $9.22 to $15.58 with an average of $11.70 which is down from its close today of $13.49
- The individual investors following the stock on Motley Fool voted 93 to 15 for the stock to beat the market with more experienced investors voting 9 to 3 for the same result
- 26,720 investors are monitoring this stock on Seeking Alpha
Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in VIPS over the next 72 hours.
Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance and reevaluate your stop losses at least on a weekly basis.
On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes.
