American Invest Hub
  • Politics
  • Investing
  • Business
  • Latest News

American Invest Hub

  • Politics
  • Investing
  • Business
  • Latest News
Investing

Compass stock price soared, but a risky chart pattern has formed

by admin January 18, 2025
January 18, 2025

Compass stock price staged a strong comeback on Wednesday after the company boosted its forward guidance. It also jumped as mortgage rates dropped slightly after the latest US inflation data from the United States. The COMP stock was trading at $6.70, its highest swing since December 17 and 32% above the lowest level this month. 

Compass boosted its guidance

Compass, one of the biggest real estate brokerage companies, has done well in the past few months even as the industry faced major headwinds. It soared by over 272% from its lowest point in 2023, bringing its market cap to over $2.85 billion. 

The biggest challenge the company has faced was a loss in March 2024 when the National Association of Realtors agreed to pay $418 million to resolve antitrust cases. That ruling also forced buyers to enter into written agreements with their agents before viewing properties. It means that many of Compass realtors are now making less money.

Compass stock price rose this week after the company boosted its forward guidance. In a statement, the firm said that its revenue will be between $1.36 billion and $1.39 billion, up from $1.22 billion to $1.35 billion. For the year, the company expects that its revenue will be between $5.6 billion and $5.64 billion.

Analysts are optimistic that the company will continue to perform well in the next few years. They expect its revenue to be $6.56 billion in 2026, up 17.8 percent from 2025. 

Compass stock has also jumped as investors anticipate that it will become a highly profitable company. Its annual earnings per share is expected to improve to $0.05 in 2024 from a 28-cent loss a year earlier. It will then make an EPS of 14 cents this year. 

The stock also jumped after the US released encouraging inflation data. The Bureau of Labor Statistics (BLS) reported that the core Consumer Price Index (CPI) dropped from 3.3% in November to 3.2% in December. 

According to Freddie Mac, the average 30-year and 15-year mortgage rates dropped slightly to 6.9% and 6.14%. These rates are significantly higher than last year’s low of 5.16%. The expectation is that rates may continue falling if inflation continues falling.

Compass stock price forecast

COMP stock chart by TradingView

The daily chart shows that the COMP share price bottomed at $5.10 earlier this month and has bounced back to $6.67. It has retested the lower side of the ascending channel shown in green.

The stock has moved above the 50-day and 100-day Exponential Moving Averages (EMA). It has moved above the 23.6% Fibonacci Retracement level at $6.32. The Relative Strength Index (RSI) has moved above the neutral point at 50.

The risk, however, is that the Compass stock price has formed a head and shoulders chart pattern, a popular bearish reversal point. If this happens, the next point to watch will be at $5.10, the lowest swing this month. A drop below that level will push it to the 50% retracement point at $4.78. This view will become valid if the stock rises above last year’s high of $7.60.

The post Compass stock price soared, but a risky chart pattern has formed appeared first on Invezz

0
FacebookTwitterGoogle +Pinterest
previous post
Stocks in the news today: TSM, UNH, BAC, FNMA, MS, and TGT
next post
Warby Parker stock price analysis as its website traffic jumps

Related Posts

Axon Enterprises stock surged but faces one key...

January 5, 2025

Silver Traders Seek Out China as Solar Demand...

May 31, 2024

Interactive Brokers stock jumps 10% after Q2 earnings...

July 19, 2025

Brunswick Exploration

May 3, 2024

How to Invest in Rare Earths

May 3, 2024

NZD/USD analysis amid potential Fed and RBNZ divergence

December 20, 2024

HiPurA® HPA Pilot Plant Early-Stage Commissioning Commenced

June 29, 2024

Crypto price predictions: Aptos, Hedera HBAR, and Pi...

June 28, 2025

Palladium Price Update: H1 2024 in Review

July 31, 2024

Velox Announces ASX Dual Listing, Gets Vanadium Project...

August 7, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest News

    • How Donald Trump’s immigration crackdown may tank the labor market

      August 4, 2025
    • Trump’s tariff threat looms over India’s Russian oil deals

      August 4, 2025
    • Trump moves nuclear submarines near Russia: what triggered the move and what’s ahead

      August 3, 2025
    • BOE rate cuts offer little relief as UK households face mounting financial strain

      August 3, 2025
    • Retail investors shift focus to Europe as US valuations stretch

      August 3, 2025

    Categories

    • Business (3,573)
    • Investing (2,700)
    • Latest News (2,031)
    • Politics (1,530)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: americaninvesthub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 americaninvesthub.com | All Rights Reserved