The stock of Nuance Communications, Inc. (NASDAQ:NUAN) is now priced at $31.29 and the shares are 1.33 points up or 4.44% higher compared to its previous closing price of $29.96. The stock had 4.615 million contracts set over the past session. NUAN shares’ daily volume is compared to its average trading volume at 3.484 million shares. However, it has a float of 280 million and although its performance was 7.01% over the week, it’s one to watch. Analysts have given the NUAN stock a yearly average price target of $32.43 per share. It means the stock’s upside potential is 3.64% with the NUAN share price recently placing at $30.02 to $31.57. However, some brokerage firms have priced the stock below the average, including one that has called $26.
The shorts are running away from the Nuance Communications, Inc. stock, with the latest data on short interest released on August 14, 2020, showing that short interest numbers in the NUAN shares have declined. Short interest in the stock represents just 6.33% of its float, but the volume has dropped by -119829. The volume of shorted shares dropped to 17.736 million from 17.856 million shares over the last two weeks. The average intraday trading volume has been 3.793 million shares, which means that days to cover moved to roughly 4.67628.
In the last trading session, Nuance Communications, Inc. (NASDAQ:NUAN) raised by $2.05 over the week and gained $3 on its 20-day. The stock’s high in the recent session is lower when compared to its 52-week high of $31.57. The stock recorded its established 52-week high on 09/01/20.
Since 03/19/20, the stock has traded to a low of $13.51 at 131.61%, 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 1.03. Being above 1 means that the stock’s volatility is higher than the market and traders are keenly watching it.
Looking at current readings, Nuance Communications, Inc.’s two-week RSI is 70.89. This suggests that the stock is oversold at the moment and that NUAN shares’ price movement remains not stable. The stochastic readings are equally revealing at 80.66% meaning the NUAN share price is currently in oversold territory.
The technical chart shows that the NUAN stock will likely settle at between $31.9 and $32.51 per share. However, if the stock dips below $30.35, then its market would become much weaker. Any downside could see the stock price sliding to levels as low as $29.41.
Currently, the stock is trading in the green of MACD, with a reading of 0.6. 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 CFRA cut their recommendation for NUAN from Hold to Sell in August 06 review. SVB Leerink analysts see the stock as a Outperform with a target price of $31 in a flash note released to investors on June 29 initiating covering the stock. Guggenheim analysts see the stock as Neutral when the analysts initiated the share price coverage on April 14.
The average rating for the NUAN equity is 1.88 and is currently gathering a bullish momentum. Of 8 analysts tracking Nuance Communications, Inc. polled by Reuters, 2 rated NUAN as a hold. The remaining 6 analysts were split evenly. However, the split wasn’t equal as a majority (6) rated it as a buy or strong buy. 0 analyst advised investors against buying the stock or to sell if they own any of the stock.
Elsewhere, the NUAN stock price is 35.84X ahead of its 12-month Consensus earnings per share estimates. The stocks P/S ratio currently stands at 50.5 below the group’s average of 6367.1. Nuance Communications, Inc. has its P/E ratio at 7.7, which means that the stock is currently trading at a discount relative to the 11.6 industry average.
Zacks Consensus Estimate forecasts that the current-quarter revenues for Nuance Communications, Inc. (NASDAQ:NUAN) will decrease by about -99.9%, which will see them reach $346 million. The company’s full-year revenues are, however, expected to diminish by about -21.39%, down from $1870 million to $1470 million. NUAN’s expected adjusted earnings should drop almost -52.94% to end up at $0.16 per share, while for the fiscal year, analysts project the company’s earnings to drop by about -33.87% to record $0.82/share.