Social Reality, Inc. (NASDAQ:SRAX) could be one of the worst stocks that investors may not want to consider for their portfolio today as the company shares are trading 5.33% or 0.18 points down from last closing price of $3.38, reaching $3.2 at last check. Any clue why there is so much of action in the SRAX stock? The share price has dropped in 3 of the last 5 days and is down -30.75% 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 -114,365 shares, and in total 61535 shares valued at $196912 were seen changing hands compared with 175900 shares valued at $594542 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 SRAX stock is near its bottom.
Social Reality, Inc. (SRAX) shares have notched a 3-month decline of about -30.75%, but has still advanced 71.08% year to date. By comparison, the stock sank -27.89% over the past 12 months, while it slipped -26.22% over the 1 month. The company’s market cap is around $43.45M, with its short interest ratio standing at 8.84%.
In the current trading session for SRAX, the stock witnessed two major price actions, it rose to a high of $3.6623 and was down as much as $3.13 at one point. The high recorded is very low when compared to their 52-week high which is $1.55. The 52-week high is now at -44.36 distance from current price. Their recent low of $5.85 represents a 110% 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 SRAX is $10, 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 Social Reality, Inc. earned $0.65 per share in the trailing 12 months and has a P/E ratio of 4.92. 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 30.19 and lower compared to the sector’s average of 18.75. When the P/E ratio is low let’s say below 1.0, then the stock price is considered a good value. SRAX also has P/S multiple of 4.74. 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 1.42x.
The company recorded an interesting insider purchase transaction by the CEO on Dec 28, 2018. A Securities and Exchanges Commission filings show that Christopher Miglino bought a total of 80,000 SRAX shares that day for a sum of around $146,400. The filings show that the insider stake has now grown to 1,127,575 shares, currently worth $3,608,240. Social Reality, Inc. (SRAX) insiders have acquired no shares in the stock within the past three months. The total insider sales reported to the SEC in that time frame amounted to shares. In total, individual insiders traded no shares in the business, which makes up 0% of 120,000 shares that were traded over a year. In the past 12 months, insiders have purchased 120,000 shares while the seller parted with shares.
SRAX‘s last price was down -9.61% as compared to the average trading price of 50 days recorded at $3.54 while enlarging the period to 200 trading days, the average closing price was $4.27. At present, there are 12.45 million in the total number of common shares owned by the public and among those 10.91 million shares have been available to trade. The percentage of shares being held by the company management was 11.98% while institutions stake was 5.2%. The company has generated positive returns on equity over the last 12 months (41.6%). It managed to keep its gross profit margin at 67.9% over the past 12 months.
When assessing the full upside of the SRAX stock, there is another set of technicals that should be looked into and considered. Its -18.45% decline from moving average of $3.92 has brought about a negative sentiment when calculated over the last 20 days. The market has allocated a beta of 2.18 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.
In the last five years, the EPS of the company has been roughly 28.1%. Though the percentage looks encouraging, 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 23.7 over the last five years. The company recently recorded a drop of -71.4%, but this figure is rather unattractive.