On December 27th, 2020, 01:00 a.m., Valmont Industries was quoted on its home market in New York at a price of USD 171.91. The company belongs to the “Construction” segment.
Our team of analysts provided Valmont Industries with an analysis of the market based on this assessment. A total of 8 factors lead to the individual assessments as “Buy”, “Hold” or “Sell”. From this, an overall assessment is determined in the last step.
1. Relative Strength Index: With the help of the Relative Strength Index (RSI), an indicator from technical analysis, a statement can be made as to whether a security is “overbought” or “oversold”. For this purpose, the upward and downward movements of an underlying asset are related over time. Let’s look at the RSI for the last 7 days for the Valmont Industries share: the value is currently 63.68. As a result, the security is neither overbought nor -sold, so we assign a “Hold” rating. The RSI of the last 25 trading days is less volatile than the RSI7 and complements our analysis with a longer-term view. Valmont Industries is neither overbought nor -sold on a 25-day basis (value: 31.69). This is why the share also receives a “hold” rating for the RSI25. Overall, the analysis of the RSIs for Valmont Industries provides a “hold” rating.
2. Technical analysis: The current price of Valmont Industries of USD 171.91 is a “buy” signal from the point of view of the technical chart valuation at +34.55 percent distance from the GD200 (USD 127.88). In contrast, the GD50, which quantifies the average price development over 50 days, has a price of USD 159.98. For the share price, this means that there is a “buy” signal, since the gap is +7.55 percent. The bottom line is that the Valmont Industries share price is rated as a “Buy” if the average of 50 and 200 days is used as the basis.
3. Dividend: Valmont Industries currently pays lower dividends than the construction industry average. The difference is 1.15 percentage points (1.05% versus 2.2%). Because of this large difference, the dividend policy of the share is rated “Sell”.
Should Investors Sell Right Now? Or is it worth joining Valmont Industries?
How will Valmont Industries continue to develop after the Corona crisis? Is your money safe in this stock? The answers to these questions and why you need to act now can be found in the latest analysis of Valmont Industries shares.