- ZEN has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $21.0 million.
- ZEN has traded 106,462 shares today.
- ZEN is trading at 3.23 times the normal volume for the stock at this time of day.
- ZEN is trading at a new low 3.04% below yesterday's close.
'Weak on High Relative Volume' stocks are worth watching because major volume moves tend to indicate underlying activity such as material stock news, analyst downgrades, insider selling, selling from 'superinvestors,' or that hedge funds and traders are piling out of a stock ahead of a catalyst. Regardless of the impetus behind the price and volume action, when a stock moves with strength and volume it can indicate the start of a new trend on which early investors can capitalize (or avoid losses by trimming weak positions). In the event of a well-timed trading opportunity, combining technical indicators with fundamental trends and a disciplined trading methodology should help you take the first steps towards investment success. EXCLUSIVE OFFER: Get the inside scoop on opportunities in ZEN with the Ticky from Trade-Ideas. See the FREE profile for ZEN NOW at Trade-Ideas More details on ZEN: Zendesk, Inc., a software development company, provides software as a service customer service platform for organizations. Currently there are 7 analysts that rate Zendesk a buy, no analysts rate it a sell, and none rate it a hold. The average volume for Zendesk has been 828,800 shares per day over the past 30 days. Zendesk has a market cap of $2.2 billion and is part of the technology sector and computer software & services industry. Shares are down 6.6% year-to-date as of the close of trading on Tuesday. EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE. TheStreetRatings.com Analysis: TheStreet Quant Ratings rates Zendesk as a sell. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity and feeble growth in its earnings per share. Highlights from the ratings report include:
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Software industry. The net income has significantly decreased by 41.8% when compared to the same quarter one year ago, falling from -$19.17 million to -$27.17 million.
- Current return on equity is lower than its ROE from the same quarter one year prior. This is a clear sign of weakness within the company. Compared to other companies in the Software industry and the overall market, ZENDESK INC's return on equity significantly trails that of both the industry average and the S&P 500.
- ZENDESK INC's earnings per share declined by 20.0% in the most recent quarter compared to the same quarter a year ago. The company has reported a trend of declining earnings per share over the past year. However, the consensus estimate suggests that this trend should reverse in the coming year. During the past fiscal year, ZENDESK INC reported poor results of -$0.99 versus -$0.95 in the prior year. This year, the market expects an improvement in earnings (-$0.31 versus -$0.99).
- Compared to where it was trading a year ago, ZEN's share price has not changed very much due to (a) the relatively weak year-over-year performance of the overall market, (b) the company's stagnant earnings, and (c) other mixed results. Turning our attention to the future direction of the stock, we do not believe this stock offers ample reward opportunity to compensate for the risks, despite the fact that it rose over the past year.
- The gross profit margin for ZENDESK INC is currently very high, coming in at 78.10%. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of -39.68% is in-line with the industry average.
- You can view the full Zendesk Ratings Report.
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