Axcelis: confirmation of the banger!

by Sentiment Analyst |

The RSI sends a buy signal for Axcelis

Whoever wants to evaluate the dynamics of a share price can resort to the prominent Relative Strength Index, the RSI. According to this, for a period of 7 days (or for 25 days as RSI25), the ratio of upward and downward movements is normalized to a distance of 0 to 100. The Axcelis RSI, with a value of 7.73, is the basis for the “Buy” rating. The RSI25 amounts to 41.99, resulting in a rating of “Hold” for 25 days. This overall picture leads to a Buy rating.

Does Axcelis’ P/E ratio suggest a buy?

The current price-to-earnings (P/E) ratio of Axcelis is 15.07, which puts the stock below the major average (about 81 percent) compared to stocks in the “semiconductor and semiconductor equipment” sector (P/E ratio of 77.43). From the perspective of fundamental criteria, Axcelis is thus undervalued and consequently receives a “buy” rating at this level.

Investor opinion characterized by good mood

A look at the discussion in social media shows the following pictureMarket participants were basically mostly positive about Axcelis in recent days. On 11 days, the discussion revolved mainly around positive topics, with no negative discussion to report. On two days, investors were more neutral. The latest news about the company in the past one or two days is also mainly positive. Based on our sentiment analysis, Axcelis therefore receives a “buy” rating. Overall, Axcelis receives a “buy” rating from the editors for investor sentiment.

In comparison: what price return does the stock offer?

Over the past year, the stock has generated a return of 36.15 percent. Compared to stocks in the same sector (“information technology”), this puts Axcelis 21.5 percent below the average (57.65 percent). The median annual return for securities in the same sector “semiconductor and semiconductor equipment” is 44.14 percent. Axcelis is currently 7.98 percent below this figure. Due to the underperformance, we rate the stock an overall “Sell” at this level.

Technical analysis of the stock

Trend-following indicators are designed to show whether a security is currently in an uptrend or downtrend (see Wikipedia). The moving average is one such indicator, and here we look at the 50-day and 200-day moving averages. First, let’s take a look at the longer-term average over the last 200 trading days. For Axcelis stock, this is currently $62.8. The last closing price (USD 75.06) is thus significantly higher (+19.52 percent deviation in comparison). On this basis, Axcelis thus receives a “buy” rating. Now a look at the shorter-term 50-day moving averageFor this (USD 60.73), the last closing price is also above the moving average (+23.6 percent deviation). Axcelis stock is thus given a “buy” rating on this shorter-term basis as well. In sum, Axcelis is given a “buy” rating based on trend-following indicators.