ESAB

Conclusions

• 🟢Price vs. SMA 50 — Price is above the 50-day average
• 🔴Price vs. SMA 200 — Price is below the 200-day average
• 🟢MACD — MACD histogram is positive — rising momentum
• 🟢RSI — RSI 54.1 — healthy positive momentum
• 🟡Stochastic — %K 77.5 — neutral range
• 🟡ADX (trend strength) — ADX 15.1 — weak trend/choppy
• 🔴Volume trend — Volume is falling despite the price advance — possible weakening
• 🔴Relative strength vs. S&P 500 — -9.6% over the last 3 months relative to the index
• 🟢Bollinger Bands — Price is in the upper third of the Bollinger Bands (89%B) — strong momentum (risk of a pullback)
• 🟢ROC (rate of change) — ROC 12 days: 11.4%
• 🟢Parabolic SAR — Price is above the SAR point — uptrend
• 🟡CMF (money flow) — CMF 20 days: 0.00

3️⃣ Suggested Exit Point (ATR-based)

Method formula: Stop-loss = resistance plusone ATR margin — this way the stop adapts to the stock's actual volatility, rather than an arbitrary number.

Profit Targets by Risk/Reward Ratio (R)

Conclusions

• 🟡Gross margin — Gross margin: 36.9% — reasonable
• 🟡Operating margin — Operating margin: 14.5% — reasonable
• 🟡Net margin — Net margin: 8.0% — reasonable
• 🟡Return on equity (ROE) — Return on equity (ROE): 10.5% — reasonable
• 🔴Return on assets (ROA) — Return on assets (ROA): 4.8% — weak
• 🟢Current ratio (liquidity) — Current ratio: 1.90
• 🟡Debt-to-equity — Debt/equity: 0.57

Conclusions

• 🟡Revenue growth (last year) — Revenue growth (last year): 3.7%
• 🔴Earnings per share (EPS) growth — Earnings per share (EPS) growth: -14.8%
• 🔴Free cash flow growth — Free cash flow growth: -29.8%
• 🔴Net income growth — Net income growth: -14.4%

Conclusions

• 🔴DCF Fair Value — Estimated fair value: $38.61 vs. price $94.51 (-59.1%)
• 🟡Tangible Net Asset Value (NAV) — NAV per share: -$7.45
• 🟡P/E — P/E: 25.2