Should Investors Trust The Upside Potential In GrafTech International Ltd. (EAF)?

GrafTech International Ltd. (NYSE:EAF) currently has a daily average trading volume of 3.36M but it saw 2830485 shares traded in last market. With a market cap of 231.74M USD, the company’s current market price of $0.90 came rising about 5.70 while comparing to the previous closing price of $0.85. In past 52 weeks, the stock remained buoying in the range of price level as high as $3.97 and as low as $0.52. In the recent trading on the day, stock has struck highest price mark of $0.85 while lowest mark touched by it was $0.9515.

Taking a look at 20-day trading activity of GrafTech International Ltd. (EAF) gives us an average price of $0.6864, while its current price level is -77.30% below from 52-week high level whereas it is 73.29% above from lowest level seen by the stock during that period. Simple moving average of 50 days or SMA-50 of the stock’s closing price is $0.8538 while that of 200 days or SMA-200 reads an average of $1.5364. A closer look into the stock’s movement over the week reveals that its volatility is standing at 16.45% during that period while stretching the period over a month that decreases to 14.63%. It is also necessary to take a look into other indicators of a stock too, to get a better idea about its price movement. And in doing so, we find stock’s 14-day relative strength index (RSI) standing at 59.61 which implies that the stock is in neutral territory.

RBC Capital Mkts also issued its recommendations for the stock as it downgraded the price target for the stock in the range of between $10 and $7.

Over the week, EAF’s stock price is moving 38.18% up while it is 17.32% when we observe its performance for the past one month. Year-to-date it is -58.85% down and over the past year, the stock is showing a downside performance of -74.40%.

The latest quarterly earnings report issued by the company reported quarterly earnings per share (EPS) of -0.08 beaten by the consensus estimate of -0.03 for the same. The company is expected to be releasing its next quarterly report in September, for which analysts forecasted an EPS of -0.12 while estimate for next year EPS is -0.41. In next quarter, company is expected to be making quarterly sales of $131.77M as analysts are expecting the sales for current fiscal year at $533.32M and seeing the company making $582.33M in sales next year. Moreover, analysts are in estimates of $128.85M for current-quarter revenue.

Currently, GrafTech International Ltd.’s total number of outstanding shares is 256.83M. Company’s return on investment (ROI) stands at -30.25% and return on equity (ROE) at -169.50%. Stock’s beta reads 0.95. Stock has a price to book (P/B) ratio of 14.27 while price to sale or P/S ratio amounts to 0.41. Its return on asset (ROA) is -21.25% on average.