Analysis and Insights
News and Earnings Analysis:
Quaker Houghton (KWR) recently reported its Q4 2024 earnings, with a Non-GAAP EPS of $1.33, missing consensus estimates by $0.19. However, revenue came in at $444.1 million, beating expectations by $13.63 million. The company highlighted strong profitability and cash flow despite macro challenges, particularly in the Americas and EMEA segments. Management emphasized new business wins, especially in Asia-Pacific, and plans to focus on cost savings and strategic initiatives in 2025.
Technical Indicators:
- RSI (14-period): 38.12, indicating the stock is not yet oversold but is approaching oversold territory.
- MACD: The MACD line is below the signal line, suggesting bearish momentum.
- Fibonacci Levels: The stock is trading below the pivot level of 136.16, with resistance at 140.97 and support at 131.35.
Price Action and Volume:
The stock closed at 130.23 on March 12, 2025, with a volume of 138,822. The price has been declining since the earnings report, indicating negative sentiment.
Conclusion:
Based on the earnings miss, bearish technical indicators, and recent price action, KWR is likely to face selling pressure in the short term. The stock is expected to test the lower Fibonacci support level of 131.35 and potentially drop to 128.01 next week.
Prediction: The stock price of KWR is expected to be around 128.01 in the next trading week.
Recommendation: Sell KWR at current levels due to bearish technical indicators and negative sentiment following the earnings report.
Analysis and Insights
News and Earnings Analysis:
Quaker Houghton (KWR) recently reported its Q4 2024 earnings, with a Non-GAAP EPS of $1.33, missing consensus estimates by $0.19. However, revenue came in at $444.1 million, beating expectations by $13.63 million. The company highlighted strong profitability and cash flow despite macro challenges, particularly in the Americas and EMEA segments. Management emphasized new business wins, especially in Asia-Pacific, and plans to focus on cost savings and strategic initiatives in 2025.
Technical Indicators:
- RSI (14-period): 38.12, indicating the stock is not yet oversold but is approaching oversold territory.
- MACD: The MACD line is below the signal line, suggesting bearish momentum.
- Fibonacci Levels: The stock is trading below the pivot level of 136.16, with resistance at 140.97 and support at 131.35.
Price Action and Volume:
The stock closed at 130.23 on March 12, 2025, with a volume of 138,822. The price has been declining since the earnings report, indicating negative sentiment.
Conclusion:
Based on the earnings miss, bearish technical indicators, and recent price action, KWR is likely to face selling pressure in the short term. The stock is expected to test the lower Fibonacci support level of 131.35 and potentially drop to 128.01 next week.
Prediction: The stock price of KWR is expected to be around 128.01 in the next trading week.
Recommendation: Sell KWR at current levels due to bearish technical indicators and negative sentiment following the earnings report.