- Glencore (GLNCY) has strong momentum and is trading at new all-time highs.
- Shares are up more than 120% over the past 52 weeks.
- The stock maintains a 100% “Buy” technical opinion from Barchart.
- Despite positive sentiment from Wall Street, Morningstar flags GLNCY as overvalued, and the stock remains sensitive to international uncertainty.
Today’s Featured Stock
Valued at $89.19 billion, Glencore (GLNCY) is a diversified natural resource company. It operates in three groups: Metals and Minerals, Energy Products, and Agricultural Products.
The company’s operations consist of mining and metallurgical sites, offshore oil production assets, farms, and agricultural facilities. It is a producer and marketer of commodities, such as mobile phones, bicycles, cutlery, plastics, and electricity.
What I’m Watching
I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals; superior current momentum in both strength and direction; and a Trend Seeker “buy” signal. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. GLNCY checks those boxes. The Trend Seeker issued a new “Buy” signal on Feb. 9. Since then, the stock has gained 11.82%.
Barchart Technical Indicators for Glencore
Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.
Glencore scored an all-time high of $15.28 on April 13.
- Glencore has a Weighted Alpha of +133.24.
- GLNCY has a 100% “Buy” opinion from Barchart.
- The stock has gained 124.05% over the past 52 weeks.
- Glencore has its Trend Seeker “Buy” signal intact.
- The stock recently traded at $15.28 with a 50-day moving average of $14.05.
- GLNCY has made 9 new highs and gained 11.61% over the past month.
- Relative Strength Index (RSI) is at 66.85.
- There’s a technical support level around $15.12.
Don’t Forget the Fundamentals
- $89.19 billion market capitalization.
- 1.31% dividend yield.
- Analysts project an increase in revenue of 8.92% this year but a slight decrease of 2.79% next year.
- Earnings are estimated to increase 17.52% this year and an additional 16.48% next year.
Analyst and Investor Sentiment on Glencore
- The Wall Street analysts followed by Barchart give the stock 8 “Strong Buy,” 1 “Moderate Buy,” and 5 “Hold” opinions with price targets between $12.90 and $16.20.
- Value Line does not rate the stock but only because it does not analyze foreign companies.
- CFRA’s MarketScope rates the stock a “Hold.”
- Morningstar thinks the stock is overvalued with a fair value of $13.
- 11,150 investors are following the stock on Seeking Alpha, which rates it a “Strong Buy.”
- Short interest is only 0.01% of the float with 1.00 days to cover the float. (Don’t read a lot into it because short sellers normally aren’t interested in shorting ADRs).
The Bottom Line on Glencore
Glencore’s integrated mining and global commodities marketing model offers unique operational efficiencies and margin capture across many different commodities such as copper, cobalt, and zinc, as well as coal, oil and agricultural products, but is at the mercy of current international uncertainty.
Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.
