$DGX with a bullish outlook following its earnings #StocksThe PEAD projected a bullish outlook for NYSE:DGX after a positive under reaction following its earnings release placing the stock in drift A with an expected accuracy of 57.14%.
PKG trade ideas
PKG: aiming higher?A price action above 148.00 supports a bullish trend direction.
Increase long exposure for a break above 157.00.
The target price is set at 168.00.
the stop-loss price is set at 148.00 (the 23.6% Fibonacci retracement level).
Remains a risky trade.
Global Packaging Demand Fall. PKG ShortNYSE:PKG
- Deterioration in operation conditions as a result of general economic conditions and customers lowering their inventories.
- This has resulted in lower demand and lower production, which is continuing into 2023 and has negatively affected profitability.
- Published containerboard prices have decreased beginning in the fourth quarter of 2022, which will result in lower prices and lower profitability.
- Cost of wood fibre remains high.
- The market for communication papers competes heavily with electronic data transmission and document storage alternative. Increasing shifts to these alternatives have reduced usage of traditional print media and communication papers.
- For the first quarter of 2023, in the Packaging segment, corrugated products demand on a per day basis is expected to be similar to fourth quarter of 2022 levels.
- Prices for containerboard and corrugated products are expected to decrease as a result of the recent decreases in the published domestic containerboard prices, and prices for containerboard in export markets are epxected to be lower as
well.
- Slightly higher paper prices on flat sales volume is expected.
- Labour costs and certain indirect costs will increase as some containerboard mill operations were temporarily idled during the fourth quarter and resumed operations during the first quarter.
- Higher labour and benefits costs and other timing-related expenses that occur at the beginning of a new year as well as higher prices for many chemicals, particularly starch and caustic soda are anticipated.
- Higher interest and non-operating pension expenses and a higher tax rate are expected.
- First quarter of 2023 earnings expected to be lower than the fourth quarter of 2022.
- EPS and revenue forecast estimated to be lower. Earnings growth to be negative or flat for the year 2023 - 2024.
Outlook is not looking great for the year 2023 but stock price is still up. Compared to its competitor International Paper Company (Ticker: IP) the stock might have been over bought.
PKG 5/25/2022PKG
Packaging its bags and going south.
Since peaking in price in May 2021, PKG entered a parallel channel range between 129 – 155.
April 2022, price broke out from range with what looked like to be the continuation of its uptrend.
Unfortunately, the breakout was short lived, and price fell back into range. The breakout is deemed a “false breakout”.
Price fell back into range and has pulled back to top of resistance. This is my que to enter swing trade short.
Entry: 153.34
Stoploss: 160.47
Target: 129.80, 15.4%, 3.35 RR ratio
$PKG with a Bearish outlook following its earnings #Stocks The PEAD projected a Bearish outlook for $PKG after a Negative Under reaction following its earnings release placing the stock in drift D with an expected accuracy of 83.33%.
PKG – Rare 40% Investment or Defensive Opportunity?If you like this idea, please don’t forget to Boost it.
Fundamental Indicators:
Sector – Consumer Cyclical
US Business Cycle Stage – late cycle, when this sector is not favourable
Revenue – consistent growth for the past 5 years, although just 6% average annual rate, 2022 TTM
Profits – confidently rising since 2020
Net margin – decent 12%
P/E – quite low with just 13 ratio compared to S&P500 with 21 and Consumer Cyclical sector with 23
Liabilities - debt ratio is at 0.52 which is within the norm, Net Debt/ EBITDA is 0.89 – no problems with debt
Conclusion – great value with current financial positive dynamics, likely to continue uptrend
Technical Analysis (Elliott Waves):
Main scenario of this idea suggests that we are still observing development of the global growth cycle which is currently at the stage of completing wave 4 and starting bull run in the fifth (see higher timeframe graph)
Since correction of 2020 we can clearly observe development of an impulse. However, the latest sideway correction which started in January 2021 is very likely to form as rare pattern Expanding Triangle. Waves A, B,C and D have completed, and wave E is currently progressing. It is tricky to identify the final point of this wave but it is most likely to culminate in the range of $120-$125 representing the low of wave C and 0.5x of wave 3
Once completed, there will be another bull run in wave 5 with minimum target of $169 – which may present up to 40% opportunity
This is a higher timeframe to reflect the full history of Packaging Corporation of America and to provide full wave count:
What do you think about Packaging Corporation of America and its short term prospects?
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PKG - Middle Line SupportPKG is testing the middle line of a larger uptrend
This place has been seen as a prior spot of support
The prior bull move allows the assumption of a bullish state, and the assumption of continuation above the middle trend line . Moving downward from here out of the Broadening formation is less likely.
Daily chart
PKG breakout tradeHey folks, happy Friday! Hope you are all doing well!
Here is a good breakout stock that you should keep on your watchlist! Looking ready!
Packaging Corporation of America (PKG)Packaging Corporation of America, design and manufacture corrugated solutions for your business.
52 week high / breakout
$PKG ready to push higher?* Great earnings
* Strong up trend
* Breaking out of a 13 month base and retested it as support
* Sector: Consumer Cyclical - Packaging & Containers
* Relative Strength vs. Sector: 1.38
* Relative Strength vs. SP500: 3.17
* U/D Ratio: 1.28
* Base Depth: 21.42%
* Distance from breakout buy point: 1.9%
* Volume 14.3% above its 15 day average
PACKAGING CORP OF AMERICA Chart DailyHey traders, PACKAGING CORP OF AMERICA is in a fake bearish movement with a short-trace water-carrying candle shape and a low return of traded buy volume. The TIMEFRAME M1 shows a marubozu with a low return in sales volume made it is heading to last previous lower. Which is on the bottom of the fake triple top balance zone after that she goes to rechecker the different levels of the bollinger expected the last highest.
Then the VWAP to access the top of the balance zone again test it. Great potential to breakout the price with the additional momentum return then the zone to fit on the one above and put on the top that follows. To fill in the bearish breakout gap with a possible rise (on TIMEFRAME H1) after two highs before breakout a zone of equilibrium. And two resistors to give way (on the TIMEFRAME H4) which applies to the neckline to go up the fibonacci retracement
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PKG Pre-EarningsTook a pre-earnings play on PKG with the Feb 145 Call Option as an Ichimoku cloud pullback pattern.
PKG: Post earnings bullish resistance breakoutsBullish 50/200SMA cross. Neutral on earnings results. Looking to enter a long position if the price breaks out of any of these resistance points after earnings.
PKG ShortSPY breakdown leading to overall downtrend, PKG seems to have fizzled out of its ER catalyst cannot hold these levels I predict its going lower.
Strike $85 $2.4 Stop at 1.2
May go lower if spy continues
Wyckoff leanings1. Is the objective accomplished on the Up Side? consult figure chart. Yes.
2. Is the activity bearish? Volume increasing normally on reactions and decreasing on rallies? Yes
3. Can you identify Preliminary supply? Yes
4. Is the stock weaker than the market? - responsive to reactions and sluggish on rallies? Yes
5. Is the upward stride broken? Yes
6. Do you have lower tops? Yes
7. Do you have lower bottoms? Yes
8. Has a crown formed? (Lateral movement) Yes
9. Does estimated probably profit excess indicated risk? Yes
Packaging Corp - PKG - oversold and cheapI'm working on this long term analysis of the cardboard box company PKG. Sheer panic in the stock is setting up a low risk entry for long term investors. It's trading at 10 times or 10% earnings yield (roughly). By the end of February it "could" lose it's downside momentum on the monthly chart. January had a large decline and February so far has a much smaller range, so the momentum is weakening to the downside.
Keep in mind that PKG did "triple" in price from 2012-2015 in a very steady manner. So now it is shaking out those investors who fell asleep at the wheel paying 2 times sales for a boring cardboard box maker at the peak of its move.
Now that it has fallen almost in half, it is trading at 75 cents on the dollar of sales and is nicely cash flow positive and in a boring, yet stable to growing business. 2 times sales is so ridiculously expensive - but 75% of sales is so ridiculously cheap.
I placed a technical target back up at the consolidation price around $62 per share. I put the stop down around $38. The last sale is $46.39 last at 11:10AM EST.
Clearly this is a longer term trade setup.
Tim
PKG Day Trade Retest Gap (Brad Reed Jan27,2015)PKG expected to open at 74.75 for a Retest Gap. To learn this strategy for free go to www.RealLifeTrading.com
