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Here's Why United Natural (UNFI) Looks Ripe for Bottom Fishing
ZACKS· 2025-10-23 14:56
Core Viewpoint - United Natural Foods (UNFI) has experienced a bearish trend recently, losing 6.2% over the past week, but the formation of a hammer chart pattern suggests a potential trend reversal as buying interest may be increasing [1][2]. Technical Analysis - The hammer chart pattern indicates a potential bottom in the stock price, suggesting that selling pressure may be exhausting [2][5]. - A hammer pattern forms when there is a small candle body with a long lower wick, signaling that bears may be losing control over the price [4][5]. - This pattern can occur across various timeframes and is utilized by both short-term and long-term investors [5]. Fundamental Analysis - There has been a recent upward trend in earnings estimate revisions for UNFI, which is a bullish indicator and correlates strongly with near-term stock price movements [7]. - The consensus EPS estimate for the current year has increased by 23% over the last 30 days, indicating that analysts expect better earnings than previously predicted [8]. - UNFI holds a Zacks Rank of 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks, which typically outperform the market [9][10].
Hamilton Lane (HLNE) Forms 'Hammer Chart Pattern': Time for Bottom Fishing?
ZACKS· 2025-09-29 14:56
Core Viewpoint - Hamilton Lane (HLNE) has shown a downtrend recently, losing 6.3% over the past week, but a hammer chart pattern suggests a potential trend reversal as buying interest may be emerging to counteract selling pressure [1][2]. Technical Analysis - The hammer chart pattern indicates a possible bottoming out, suggesting that selling pressure may be subsiding, which is a bullish signal for HLNE [2][5]. - A hammer pattern forms when there is a small candle body with a long lower wick, indicating that despite a new low, buying interest has emerged to push the stock price up towards the opening price [4][5]. - The effectiveness of the hammer pattern is enhanced when used alongside other bullish indicators, as its strength is dependent on its placement on the chart [6]. Fundamental Analysis - There has been a notable upward trend in earnings estimate revisions for HLNE, which is a positive fundamental indicator, as such trends are correlated with near-term stock price movements [7]. - Over the last 30 days, the consensus EPS estimate for HLNE has increased by 6.1%, indicating that analysts expect better earnings than previously predicted [8]. - HLNE holds a Zacks Rank of 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks, which typically outperform the market [9][10].