Encore Wire Stock Price Prediction

WIRE Stock  USD 224.53  4.12  1.87%   
The relative strength index (RSI) of Encore Wire's share price is above 70 at the present time. This entails that its stock is becoming overbought or overvalued. The idea behind Relative Strength Index (RSI) is that it helps to track how fast people are buying or selling a stock, making its price go up or down.

Oversold Vs Overbought

73

 
Oversold
 
Overbought
Encore Wire stock price prediction is an act of determining the future value of Encore Wire shares using few different conventional methods such as EPS estimation, analyst consensus, or fundamental intrinsic valuation. The successful prediction of Encore Wire's future price could yield a significant profit. Please, note that this module is not intended to be used solely to calculate an intrinsic value of Encore Wire and does not consider all of the tangible or intangible factors available from Encore Wire's fundamental data. We analyze noise-free headlines and recent hype associated with Encore Wire, which may create opportunities for some arbitrage if properly timed.
Below are the key fundamental drivers impacting Encore Wire's stock price prediction:
Quarterly Earnings Growth
(0.50)
EPS Estimate Next Quarter
3.82
EPS Estimate Current Year
16.83
EPS Estimate Next Year
18.03
Wall Street Target Price
287.33
It is a matter of debate whether stock price prediction based on information in financial news can generate a strong buy or sell signal. We use our internally-built news screening methodology to estimate the value of Encore Wire based on different types of headlines from major news networks to social media. The Encore stock price prediction module provides an analysis of price elasticity to changes in media outlook on Encore Wire over a specific investment horizon. Using Encore Wire hype-based prediction, you can estimate the value of Encore Wire from the perspective of Encore Wire response to recently generated media hype and the effects of current headlines on its competitors. We also analyze overall investor sentiment towards Encore Wire using Encore Wire's stock options and short interest. It helps to benchmark the overall future attitude of investors towards Encore using crowd psychology based on the activity and movement of Encore Wire's stock price.

Encore Wire Short Interest

A significant increase or decrease in Encore Wire's short interest from the previous month could be a good indicator of investor sentiment towards Encore. Short interest can provide insight into the potential direction of Encore Wire stock and how bullish or bearish investors feel about the market overall. An investor who is long Encore Wire may also wish to track short interest. As short interest increases, investors should be becoming more worried about Encore Wire and may potentially protect profits, hedge Encore Wire with its derivative instruments, or be ready for some potential downside.
200 Day MA
186.5557
Short Percent
0.328
Short Ratio
18.98
Shares Short Prior Month
3.5 M
50 Day MA
219.601

Encore Wire Hype to Price Pattern

Investor biases related to Encore Wire's public news can be used to forecast risks associated with an investment in Encore. The trend in average sentiment can be used to explain how an investor holding Encore can time the market purely based on public headlines and social activities around Encore Wire. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Some investors profit by finding stocks that are overvalued or undervalued based on market sentiment. The correlation of Encore Wire's market sentiment to its price can help taders to make decisions based on the overall investors consensus about Encore Wire.

Encore Wire Implied Volatility

    
  45.58  
Encore Wire's implied volatility exposes the market's sentiment of Encore Wire stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Encore Wire's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Encore Wire stock will not fluctuate a lot when Encore Wire's options are near their expiration.
This module is based on analyzing investor sentiment around taking a position in Encore Wire. This speculative approach is based exclusively on the idea that markets are driven by emotions such as investor fear and greed. The fear of missing out, i.e., FOMO, can cause potential investors in Encore Wire to buy its stock at a price that has no basis in reality. In that case, they are not buying Encore because the equity is a good investment, but because they need to do something to avoid the feeling of missing out. On the other hand, investors will often sell stocks at prices well below their value during bear markets because they need to stop feeling the pain of losing money.

Encore Wire after-hype prediction price

    
  USD 224.84  
There is no one specific way to measure market sentiment using hype analysis or a similar predictive technique. This prediction method should be used in combination with more fundamental and traditional techniques such as stock price forecasting, technical analysis, analysts consensus, earnings estimates, and various momentum models.

Prediction based on Rule 16 of the current Encore contract

Based on the Rule 16, the options market is currently suggesting that Encore Wire will have an average daily up or down price movement of about 2.85% per day over the life of the 2024-03-15 option contract. With Encore Wire trading at USD 224.53, that is roughly USD 6.4 . If you think that the market is fully incorporating Encore Wire's daily price movement you should consider acquiring Encore Wire options at the current volatility level of 45.58%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
  
Check out Encore Wire Basic Forecasting Models to cross-verify your projections.
For information on how to trade Encore Stock refer to our How to Trade Encore Stock guide.
Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of Encore Wire's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy. Please use the tools below to analyze the current value of Encore Wire in the context of predictive analytics.
Intrinsic
Valuation
LowRealHigh
202.08229.25231.07
Details
Naive
Forecast
LowNextHigh
199.62201.45203.27
Details
3 Analysts
Consensus
LowTargetHigh
217.19238.67264.92
Details
Earnings
Estimates (0)
LowProjected EPSHigh
3.513.653.73
Details
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Encore Wire. Your research has to be compared to or analyzed against Encore Wire's peers to derive any actionable benefits. When done correctly, Encore Wire's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Encore Wire.

Encore Wire After-Hype Price Prediction Density Analysis

As far as predicting the price of Encore Wire at your current risk attitude, this probability distribution graph shows the chance that the prediction will fall between or within a specific range. We use this chart to confirm that your returns on investing in Encore Wire or, for that matter, your successful expectations of its future price, cannot be replicated consistently. Please note, a large amount of money has been lost over the years by many investors who confused the symmetrical distributions of Stock prices, such as prices of Encore Wire, with the unreliable approximations that try to describe financial returns.
   Next price density   
       Expected price to next headline  

Encore Wire Estimiated After-Hype Price Volatility

In the context of predicting Encore Wire's stock value on the day after the next significant headline, we show statistically significant boundaries of downside and upside scenarios based on Encore Wire's historical news coverage. Encore Wire's after-hype downside and upside margins for the prediction period are 223.02 and 226.66, respectively. We have considered Encore Wire's daily market price in relation to the headlines to evaluate this method's predictive performance. Remember, however, there is no scientific proof or empirical evidence that news-based prediction models outperform traditional linear, nonlinear models or artificial intelligence models to provide accurate predictions consistently.
Current Value
224.53
223.02
Downside
224.84
After-hype Price
226.66
Upside
Encore Wire is very steady at this time. Analysis and calculation of next after-hype price of Encore Wire is based on 3 months time horizon.

Encore Wire Stock Price Prediction Analysis

Have you ever been surprised when a price of a Company such as Encore Wire is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Encore Wire backward and forwards among themselves. Have you ever observed a lot of a particular company's price movement is driven by press releases or news about the company that has nothing to do with actual earnings? Usually, hype to individual companies acts as price momentum. If not enough favorable publicity is forthcoming, the Stock price eventually runs out of speed. So, the rule of thumb here is that as long as this news hype has nothing to do with immediate earnings, you should pay more attention to it. If you see this tendency with Encore Wire, there might be something going there, and it might present an excellent short sale opportunity.
Expected ReturnPeriod VolatilityHype ElasticityRelated ElasticityNews DensityRelated DensityExpected Hype
  0.35 
1.84
  0.35 
  0.05 
7 Events / Month
6 Events / Month
In about 7 days
Latest traded priceExpected after-news pricePotential return on next major newsAverage after-hype volatility
224.53
224.84
0.14 
184.00  
Notes

Encore Wire Hype Timeline

Encore Wire is at this time traded for 224.53. The entity has historical hype elasticity of 0.35 and average elasticity to hype of competition of -0.05. Encore is projected to increase in value after the next headline with the price projected to jump to 224.84 or above. The average volatility of media hype impact on the company stock price is about 184.0%. The price growth on the next news is projected to be 0.14% whereas the daily expected return is at this time at 0.35%. The volatility of related hype on Encore Wire is about 1268.97% with expected price after next announcement by competition of 224.48. The company reported the previous year's revenue of 2.57 B. Net Income was 372.4 M with profit before overhead, payroll, taxes, and interest of 1.11 B. Given the investment horizon of 90 days the next projected press release will be in about 7 days.
Check out Encore Wire Basic Forecasting Models to cross-verify your projections.
For information on how to trade Encore Stock refer to our How to Trade Encore Stock guide.

Encore Wire Related Hype Analysis

Having access to credible news sources related to Encore Wire's direct competition is more important than ever and may enhance your ability to predict Encore Wire's future price movements. Getting to know how Encore Wire rivals react to changing market sentiment, related social signals, and mainstream news is a great way to find investing opportunities and time the market. The summary table below summarizes the essential lagging indicators that can help you analyze how Encore Wire may potentially react to the hype associated with one of its peers.
Hype
Elasticity
News
Density
Semi
Deviation
Information
Ratio
Potential
Upside
Value
At Risk
Maximum
Drawdown
CHDChurch Dwight(1.23)11 per month 1.07 (0.01) 1.70 (1.69) 5.30 
DEODiageo PLC ADR 0.58 7 per month 0.94 (0.02) 2.30 (1.71) 5.40 
RLXRLX Technology(0.03)9 per month 2.38 (0.03) 4.62 (3.28) 26.13 
EPCEdgewell Personal Care 0.98 6 per month 1.49  0  2.70 (2.72) 6.58 
SHOOSteven Madden(1.13)10 per month 1.33  0.08  2.46 (2.71) 7.68 
HLMNHillman Solutions Corp(0.40)8 per month 1.75  0.13  3.79 (3.03) 11.74 
ULUnilever PLC ADR 0.14 7 per month 0.67 (0.05) 1.26 (1.02) 4.62 
EMLEastern Co(0.07)8 per month 2.47  0.08  3.94 (3.14) 40.11 

Encore Wire Additional Predictive Modules

Most predictive techniques to examine Encore price help traders to determine how to time the market. We provide a combination of tools to recognize potential entry and exit points for Encore using various technical indicators. When you analyze Encore charts, please remember that the event formation may indicate an entry point for a short seller, and look at other indicators across different periods to confirm that a breakdown or reversion is likely to occur.

About Encore Wire Predictive Indicators

The successful prediction of Encore Wire stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published stock prices of traded companies, such as Encore Wire, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at the intrinsic value of Encore Wire based on analysis of Encore Wire hews, social hype, general headline patterns, and widely used predictive technical indicators.
We also calculate exposure to Encore Wire's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Encore Wire's related companies.
 2010 2011 2023 2024 (projected)
Long Term Debt to Equity0.280.260.30.29
Interest Coverage77.24919.01827.11892.41

Story Coverage note for Encore Wire

The number of cover stories for Encore Wire depends on current market conditions and Encore Wire's risk-adjusted performance over time. The coverage that generates the most noise at a given time depends on the prevailing investment theme that Encore Wire is classified under. However, while its typical story may have numerous social followers, the rapid visibility can also attract short-sellers, who usually are skeptical about Encore Wire's long-term prospects. So, having above-average coverage will typically attract above-average short interest, leading to significant price volatility.

Encore Wire Short Properties

Encore Wire's future price predictability will typically decrease when Encore Wire's long traders begin to feel the short-sellers pressure to drive the price lower. The predictive aspect of Encore Wire often depends not only on the future outlook of the potential Encore Wire's investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. Encore Wire's indicators that are reflective of the short sentiment are summarized in the table below.
Common Stock Shares Outstanding17.2 M
Cash And Short Term Investments560.6 M
When determining whether Encore Wire is a strong investment it is important to analyze Encore Wire's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Encore Wire's future performance. For an informed investment choice regarding Encore Stock, refer to the following important reports:
Check out Encore Wire Basic Forecasting Models to cross-verify your projections.
For information on how to trade Encore Stock refer to our How to Trade Encore Stock guide.
You can also try the Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.

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Is Encore Wire's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Encore Wire. If investors know Encore will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Encore Wire listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.50)
Dividend Share
0.08
Earnings Share
21.62
Revenue Per Share
152.179
Quarterly Revenue Growth
(0.09)
The market value of Encore Wire is measured differently than its book value, which is the value of Encore that is recorded on the company's balance sheet. Investors also form their own opinion of Encore Wire's value that differs from its market value or its book value, called intrinsic value, which is Encore Wire's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Encore Wire's market value can be influenced by many factors that don't directly affect Encore Wire's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Encore Wire's value and its price as these two are different measures arrived at by different means. Investors typically determine if Encore Wire is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Encore Wire's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.