Nomura (NMR) May Find a Bottom Soon, Here's Why You Should Buy the Stock Now

Core Viewpoint - Nomura Holdings (NMR) has shown a downtrend recently, losing 5.9% over the past four weeks, but a hammer chart pattern suggests a potential trend reversal as buying interest may be emerging [1][2]. Technical Analysis - The hammer chart pattern indicates a possible bottoming out, suggesting that selling pressure may be subsiding [2][4]. - A hammer pattern forms when there is a small candle body with a long lower wick, indicating that the stock opened lower, made a new low, but closed near or above the opening price, reflecting some buying interest [3][4]. - This pattern is significant when it occurs at the bottom of a downtrend, signaling that bears may be losing control [4]. Fundamental Analysis - There is a strong consensus among Wall Street analysts to raise earnings estimates for NMR, which supports the bullish case for the stock [2][6]. - Over the last 30 days, the consensus EPS estimate for the current year has increased by 6.4%, indicating that analysts expect better earnings than previously predicted [7]. - NMR holds a Zacks Rank of 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks, which typically outperform the market [8]. Conclusion - The combination of the hammer chart pattern and positive earnings estimate revisions enhances the likelihood of a trend reversal for Nomura Holdings [1][6][8].