The stock of Absolute Software (TSE:ABT) gapped up by $0.02 today and has $6.66 target or 6.00% above today’s $6.28 share price. The 5 months technical chart setup indicates low risk for the $249.17 million company. The gap was reported on Dec, 1 by Barchart.com. If the $6.66 price target is reached, the company will be worth $14.95M more.
Gaps up are useful for using as a support level and to some extent as a tradeable event. If investors already hold the stock and experience a price gap up, then its usually a good idea to hold the stock for a stronger up move. Back-tests of these patterns indicate that two-thirds of the times the stock performance improves after the gap. The area gaps close 89% of the time, the breakaway gaps, 2%, the continuation gaps 4% and the exhaustion gaps 61%. About 25,501 shares traded hands. Absolute Software (TSE:ABT) has declined 10.13% since April 27, 2016 and is downtrending. It has underperformed by 16.06% the S&P500.
Absolute Software (TSE:ABT) Ratings Coverage
Out of 7 analysts covering Absolute Software (TSE:ABT), 2 rate it a “Buy”, 1 “Sell”, while 4 “Hold”. This means 29% are positive. Absolute Software has been the topic of 13 analyst reports since August 19, 2015 according to StockzIntelligence Inc. Cormark Securities downgraded the stock to “Market Perform” rating in Wednesday, May 11 report. Canaccord Genuity initiated Absolute Software (TSE:ABT) on Thursday, October 22 with “Buy” rating. Scotia Capital downgraded Absolute Software (TSE:ABT) on Monday, August 22 to “Sector Perform” rating.
Absolute Software Corporation is engaged in the development, marketing and support of endpoint security and data risk management solutions to commercial, healthcare, education and government customers. The company has a market cap of $249.17 million. The Firm operates through Data and Device Security segment. It has a 23.63 P/E ratio. The Firm offers solutions for devices, such as computers, laptops, tablets and smartphones.