The stock of Melco Resorts & Entertainment Limited (NASDAQ:MLCO) is now priced at $19.53 and the shares are 0.22 points up or 1.14% higher compared to its previous closing price of $19.31. The stock had 1.226 million contracts set over the past session. MLCO shares’ daily volume is compared to its average trading volume at 3.17 million shares. However, it has a float of 455 million and although its performance was 1.56% over the week, it’s one to watch. Analysts have given the MLCO stock a yearly average price target of $22.32 per share. It means the stock’s upside potential is 14.29% with the MLCO share price recently placing at $19.04 to $19.59. However, some brokerage firms have priced the stock below the average, including one that has called $10.4.

The shorts are climbing into the Melco Resorts & Entertainment Limited stock, with the latest data on short interest released on August 14, 2020, showing that short interest numbers in the MLCO shares have risen. Short interest in the stock represents just 0.78% of its float, but the volume has raised by 1293789. The volume of shorted shares rised to 4.824 million from 3.531 million shares over the last two weeks. The average intraday trading volume has been 4.024 million shares, which means that days to cover moved to roughly 1.198926.

In the last trading session, Melco Resorts & Entertainment Limited (NASDAQ:MLCO) raised by $0.3 over the week and gained $3.49 on its 20-day. The stock’s high in the recent session is lower when compared to its 52-week high of $25.22. The stock recorded its established 52-week high on 01/02/20.

Since 04/03/20, the stock has traded to a low of $10.81 at 80.67%, an encouraging piece of data likely to interest most investors out to exploit the stock’s recent surge. The stock has a beta allocation of 2. Being above 1 means that the stock’s volatility is higher than the market and traders are keenly watching it.

Looking at current readings, Melco Resorts & Entertainment Limited’s two-week RSI is 63.34. This suggests that the stock is neutral at the moment and that MLCO shares’ price movement remains stable. The stochastic readings are equally revealing at 67.83% meaning the MLCO share price is currently in neutral territory.

The technical chart shows that the MLCO stock will likely settle at between $19.73 and $19.94 per share. However, if the stock dips below $19.18, then its market would become much weaker. Any downside could see the stock price sliding to levels as low as $18.84.

Currently, the stock is trading in the red of MACD, with a reading of -0.06. Investors always pay attention to any move above or below the zero-line, mainly because the indicator points to the position of the stock’s short-term average relative to its long-term measure. A MACD -a reading above the zero line means that the short-term is above the long-term average. This scenario implies that there is an upward momentum. The opposite is true when the MACD falls below the zero-line.

Analysts at Daiwa Securities raised their recommendation for MLCO from Outperform to Buy in July 30 review. CLSA analysts upgraded their recommendation of the stock from Outperform to Buy in a flash note released to investors on July 24. Wolfe Research seeing the stock struggling downgraded it from Outperform to Peer Perform on May 08.

The average rating for the MLCO equity is 1.89 and is currently gathering a bullish momentum. Of 19 analysts tracking Melco Resorts & Entertainment Limited polled by Reuters, 1 rated MLCO as a hold. The remaining 18 analysts were split evenly. However, the split wasn’t equal as a majority (16) rated it as a buy or strong buy. 2 analyst advised investors against buying the stock or to sell if they own any of the stock.

Elsewhere, the MLCO stock price is 43.69X ahead of its 12-month Consensus earnings per share estimates.

Zacks Consensus Estimate forecasts that the current-quarter revenues for Melco Resorts & Entertainment Limited (NASDAQ:MLCO) will increase by about 268.88%, which will see them reach $649 million. The company’s full-year revenues are, however, expected to diminish by about -53.66%, down from $5740 million to $2660 million. MLCO’s expected adjusted earnings should drop almost -417.65% to end up at -$0.54 per share, while for the fiscal year, analysts project the company’s earnings to drop by about -393.59% to record -$2.29/share.


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