Are These Moves By Flowserve Corporation (FLS) And Dow Inc. (DOW) Justified?

The stocks of Flowserve Corporation (NYSE:FLS) has been Upgraded as a Outperform from Neutral by Credit Suisse in its latest research note that was published on August 02. The stock also received a Neutral to Buy rating from Citigroup with the price target of $55 to $61. This was contained in a research note published by the firm on July 08. The stock received a Equal-Weight to Underweight rating in Morgan Stanley’s research note that was published on December 18.

Flowserve’s stock is covered by 14 analysts, with 4 of them rating the stock as Buy. It has been deemed to have strong buy by none of the analysts, 8 of them have rated it as a Hold while 2 of them rated it as sell. The situation was different a month ago when the stock was rated as a Buy by only 4 analysts. None of them rated it as strong buy with 7 of them recommended investors to Hold on to the stock. Meanwhile, none analyst(s) rated it as a sell. The above data shows that FLS has an average analyst rating of Hold.

Flowserve Corporation, which has current market capitalization of above $6 Billion, published its last quarter earnings on September 30, 2019. The company was able to amass $997 Million in revenue, which saw a quarterly growth rate of 4.6 percent. During that quarter of the year, Flowserve also recorded $0.59 earnings per share (EPS) which is $0.03 above the $0.56 estimated by the analysts, leading to a surprise factor of 5.36%.

FLS surged by $0.09 during the normal trading session on Friday and reaching a high of $49.01 during the day while it closed the day at $48.70. The Flowserve stock had a low trading volume of 0.28 million shares on that day, which is low compared to the average daily volume of 830.37M shares. FLS has also gained 0.54% of its value over the past 7 days. However, the stock has surged by 14.10% in the 3 months of the year. Over the past six months meanwhile, it has gained 3.09% while it has added 28.09% year-on date.

Shares in Dow Inc. (NYSE:DOW) fell by -0.50 percent on Friday. The company’s stock began trading at $54.01 below the previous closing price of $54.28, and finished the day at $53.37. Let us now take a look at the stock’s potential support and resistance levels. The publicly traded company was seen to have slipped by -5.12% from its 3 months high price. However, taking another look at DOW will indicate that it is trading +29.7% away from its 90-day low. Looking at the bigger picture, the Dow Inc. stock has dropped by -11.81% from its 52-week high while it has surged by +31.97% from its 52-week low price.

Dow has around 3 Billion cash on their books at the moment. This figure will have to be compared and looked into, with their current liabilities standing at $11 Billion. The Dow stock is bringing in revenue of over 12 months, which is roughly 47 Billion. Despite all that, Dow Inc. is seeing things declining very much as their y-o-y quarterly revenue dropped by -11.81%.

Looking at the stock’s Technical analysis information over the past 50 days shows that its Raw Stochastic average stood at 76.81%. This figure is better than the company’s 20-day Raw Stochastic average which currently stands at 46.17%. Over the past 20 days, Dow’s Stochastic %K stood at 61.97% while its Stochastic %D was revealed to be 72.51%.