Weakness Seen in eHealth, Inc. (EHTH): Stock Loses 4.35 Percent Today

eHealth, Inc. (NASDAQ:EHTH) could be one of the worst stocks that investors may not want to consider for their portfolio today as the company shares are trading 4.35% or 2.64 points down from last closing price of $60.74, reaching $58.1 at last check. Any clue why there is so much of action in the EHTH stock? The share price has dropped in 2 of the last 5 days and is up 8.16% over the past week. It will be exciting to see whether the stock manages to continue decreasing or take a minor break for the next few days. The move came on weak volume too with far less shares changing hands than in a normal session. Trading activity as of this writing weakened by -342,882 shares, and in total 229118 shares valued at $13.312 million were seen changing hands compared with 572000 shares valued at $34.743 million recorded at the previous session. You should take into consideration that a falling volume on lower prices shows the bearish trend but this is an early indication which means that the EHTH stock is near its bottom.

eHealth, Inc. (EHTH) shares have notched a 3-month gain of about 8.16%, but has still advanced 58.09% year to date. By comparison, the stock added 232.64% over the past 12 months, while it slipped -2.57% over the 1 month. The company’s market cap is around $1.32B, with its short interest ratio standing at 3.06%.

In the current trading session for EHTH, the stock witnessed two major price actions, it rose to a high of $60.6 and was down as much as $57.58 at one point. The high recorded is very low when compared to their 52-week high which is $17.67. The 52-week high is now at -20.53 distance from current price. Their recent low of $73.71 represents a 231.52% recovery. This data is quite important for investors who look to benefit from the recent rise of the company’s stock. The price target currently for EHTH is $74.29, this is above the recent high that the stock attained. Taking a look at the overall sentimental views of financial analysts, the trading pattern of this stock recently is very clear.

The stock of eHealth, Inc. earned $-0.29 per share in the trailing 12 months and has a P/E ratio of -200.34. You can compare it with that of similar companies in its industry to get a sense of whether the stock you’re looking to purchase is overvalued or undervalued. Its current price to earnings ratio is lower than the ones recorded by the industry which is 132.13 and lower compared to the sector’s average of 20.2. When the P/E ratio is low let’s say below 1.0, then the stock price is considered a good value. EHTH also has P/S multiple of 5.04. This is greater versus the 12 month P/S ratios of other companies in the same indutry. The peer average price to sales ratio is 2.69x.

The company recorded an interesting insider sale transaction by the Director on Mar 05, 2019. A Securities and Exchanges Commission filings show that Michael Goldberg sold a total of 2,337 EHTH shares that day for a sum of around $135,546. eHealth, Inc. (EHTH) insiders have acquired 40,500 shares in the stock within the past three months. In total, individual insiders traded 50,837 shares in the business, which makes up 17.494% of 290,592 shares that were traded over a year. In the past 12 months, insiders have purchased 101,615 shares while the seller parted with 188,977 shares.

EHTH‘s last price was up 41.34% as compared to the average trading price of 50 days recorded at $41.11 while enlarging the period to 200 trading days, the average closing price was $60.46. At present, there are 21.81 million in the total number of common shares owned by the public and among those 21.81 million shares have been available to trade. The percentage of shares being held by the company management was 5.9% while institutions stake was 84.6%. The company has generated positive returns on equity over the last 12 months (0.8%). It managed to keep its gross profit margin at 99.5% over the past 12 months.

When assessing the full upside of the EHTH stock, there is another set of technicals that should be looked into and considered. Its -7.35% decline from moving average of $62.71 has brought about a negative sentiment when calculated over the last 20 days. The market has allocated a beta of 1.34 to the stock. With the beta been greater than one, this implies that the company shares are theoretically more volatile than the market, something that the traders definitely are keeping an eye on.

Most of the analysts surveyed by Thomson/First Call think quite highly of eHealth, Inc. — 6 analysts rate the stock as a buy with another 0 rating it strong buy. There are 0 analysts who maintain a hold rating for the stock, with 0 giving it a sell rating. Analysts arrived at a 12-month price target of $81.8333 on shares of eHealth, Inc. (NASDAQ:EHTH), which corresponds to 39.58% upside potential than its current market price of $58.1 and implies potential despite the recent drop in the price. However, their current target price has climbed from $71.5 a month ago and is up handily from the consensus target of $62.6 a quarter ago.

In the last five years, the EPS of the company has been roughly -32.9%. Though the percentage looks disappointing, extra tailwinds are emerging as looking out over a next 5-year period, with analysts estimating that their earnings will increase annually by 15%. The revenue of the company has risen at an average annualized rate of about 7 over the last five years. The company recently recorded an increase of 62.3%, but this figure is rather attractive.

Let’s briefly check the hedge fund interest towards EHTH stock. Janney Montgomery Scott LLC added position in the company after it grew 21.6% or 15,326 shares of its common stock. The hedge fund now owns 18,637 shares worth $1,082,810, SEC documents show. Cowen Prime Services LLC shored up assets in the stock as 7586.44 shares have been purchased, increasing its stake by 103.6% to 15,446 shares which are currently valued at $897,413. In addition, Quantamental Technologies LLC recently reported that it now owns 458 shares making a total of $26,610 based on the recent price. This refelects a change of 50% in their ownership.