CEMEX, S.A.B. de C.V. (CX) Stock: A Value Gem With Upside Catalysts

Taking into account all relevant factors, CEMEX, S.A.B. de C.V. (NYSE:CX) scores 72% Sell on the technical side. The share price is also flashing a Sell from the Barchart TrendSpotter trading system. Investors starting out on a short-term path of investing should know that short terms indicators for CX averaged 50% Sell with an average daily trading volume over the past 20 days at 4714605 shares. Those using medium-term investment strategies, the shares have overall a 0.5% Sell signal while the 50-day average daily volume remained almost 5845704 shares. It’s also important to note that the stock, whose average daily volume over the 100 days as of this piece was shares, is signaling100% Sell for long term investors.

The stock is lingering around the initial support level of $3.49. After this, the following support is at the zone of $3.46. Up until the time the CX stock hit levels beyond the current one, bulls should have no alarm. In terms of its momentum, the stock’s RSI hit 37.35 on the daily chart, and this may be a cause for comfort. In case the price goes below $3.46 level on closing basis, there may be more profit booking with the stock growing weaker. Still, getting to the $3.58 level may cause a pull-back move approaching $3.64 mark.

CEMEX, S.A.B. de C.V. (CX) is most likely going to rise 56.82 percent in the coming 12 months, as per price target approximations compiled by finviz. Nevertheless, they have set the price target at a $7-month high price target. This represents a whopping 98.86 percent increase from the current trading of shares. The 52-week median price target given by the analysts is $4.7, which means a return possibility of 33.52 percent in comparison with the closing price of the stock of $3.52 on December 03. The lowest price set for the stock is $3.6 — just above 2.27 percent from CX share price now.

On December 03, 2019, CEMEX, S.A.B. de C.V. (NYSE:CX) shares lost -3.03% or -0.11 points to close at $3.52 with a thin trading volume of 4.48 million shares. It opened the trading session at $3.6, the shares rose to $3.61 and dropped to $3.52, the range by which the price of stock traded the whole day. The company now has a market cap of $5.37 billion and currently has 1.52 billion outstanding shares. CEMEX, S.A.B. de C.V. (CX) stock has plunged -8.81 percent of market value in 21 trading days.

Stock analysts at Morgan Stanley cut their rating on shares of CEMEX, S.A.B. de C.V. (NYSE:CX) from Overweight to a new rating of Equal-Weight in their opinion released on April 29. Analysts at HSBC Securities downgraded the company stock to a Hold call from its previous Buy stance, in a flash note that dated back to August 16.

CX stock’s trailing 3-year beta is 1.42, meaning there will be a greater rate of return, although posing a higher risk. The part of a firm’s profit given to each outstanding share of regular stock was $0.14 share in the trailing 52 weeks. The stock’s value fallen -26.97 percent year to date (YTD) compared to a decline of -31.52 percent in 52 week’s period. The firm’s shares are still trading -37.48 percent below its 1-year high of $5.63 and 24.82 percent up from 52-week low of $2.82. The average consensus ranking on the company is 2.4, on a ranging where 5 is equal to a consensus sell rating. In other words, the mean analyst recommendations are ranking this stock as a sell.

CEMEX, S.A.B. de C.V. (CX) shares are trading at a P/E ratio of 24 times earnings posted in the trailing 12 months. The industry CX deals with has an average P/E of 30.6. Its P/B ratio is standing at 0.5X compared to the 2.1 industry average. It is additionally sporting a 0.4 on the Price-to-Sales ratio, compared to the industry’s P/S average of 2.5. CEMEX, S.A.B. de C.V. has a 33% gross profit margin, with its operating margin around 33.8%. Alongside this, the company’s net profit margin currently stands at -2.6%.

Past records have indicated that shares in CEMEX, S.A.B. de C.V. declined on 15 different earnings reaction days and we have yet to see whether this trend will play out and remain in place when the company reports upcoming earnings. Investors will get the next hint of CX’s Q4 earnings on February 06. Analysts are predicting revenue to suffer decline of -2.2 percent to $3.38B in the financial fourth quarter, while EPS will soar by about -400 percent to $0.06 per share. In the last quarter, it earnings of $0.06 per share came worse than the $0.1351, adjusted, expected by Thomson Reuters consensus estimate. Revenue for the quarter was $3.45B, missing the $3.48B analysts had expected. Earnings are seen to rise by -11.7 percent this year, 12.54 percent in the coming year.