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

Core Viewpoint - The stock price of Tennant (TNC) has been on a bearish trend, losing 11.3% over the past four weeks, but the formation of 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, with reduced selling pressure, suggesting that bulls may be gaining control [2][4]. - A hammer pattern forms when there is a small candle body with a long lower wick, indicating that despite a downtrend, buying interest has emerged to push the stock price up towards the opening price [3][4]. - This pattern can occur across various timeframes and is utilized by both short-term and long-term investors [4]. Fundamental Analysis - There has been a positive trend in earnings estimate revisions for TNC, with a 1.9% increase in the consensus EPS estimate over the last 30 days, indicating that analysts expect better earnings than previously predicted [6][7]. - TNC currently holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks, which typically outperform the market [8]. - The Zacks Rank serves as a timing indicator, suggesting that TNC's prospects are beginning to improve, reinforcing the bullish case for the stock [8].