Should You Buy Energy Recovery Inc (ERII) Today? Analysis, Price Targets, and 2026 Outlook.
Analysis Updated At
2026/01/28
Not a good buy right now for a beginner long-term investor with $50k–$100k who is impatient. The chart is mildly bullish short-term, but the company’s latest quarter showed sharp YoY declines in revenue, earnings, and net income, and there are no Intellectia buy signals to override that. ERII looks more like a “watch/hold” until fundamentals re-accelerate or price breaks convincingly above resistance.
Technical Analysis
Price is ~14.7 post-market (+1.17% regular session), sitting just under near-term resistance (R1=14.812; R2=15.062) and above pivot support (Pivot=14.407; S1=14.002). Momentum has improved: MACD histogram is positive (0.0578) and expanding, indicating bullish momentum building. RSI(6)=64 is neutral-to-bullish (not overbought), suggesting room for continuation, but moving averages are converging, which often implies the trend is not yet firmly established. Pattern-based forward stats also lean cautious: -0.39% next day, +0.79% next week, and -3.99% next month—suggesting limited upside and potential near-term fade unless it clears ~15.06 decisively.
