Don’t Be A Stock Market Victim: Genworth Financial Inc. (GNW), GSX Techedu Inc. (GSX)

Genworth Financial Inc. (NYSE: GNW) shares are -46.14% down in the year-to-date (YTD) period and have moved -6.32% or -$0.16 lower in the latest trading session. However, stock’s trailing 12-month performance remains nearly +26.74% lower. Comparatively, the stock is -51.03% down YTD and -25.47% over the trailing 3-month period. If we look at the shorter duration, its week performance is -9.20% and 17.91% over the month.

Analyst Recommendations

On May 05, 2016, Compass Point recommended the GNW stock is a Buy, while earlier, Wells Fargo had Resumed the stock as a Market Perform on September 23, 2016. 3 analysts offering the recommendations for the stock have a consensus rating of 3.00 to suggest that the GNW stock is a “Hold. 0 of the 3 analysts rate the stock as a “Sell”, while 0 has rated it as “Underweight”. 0 recommend buying, with 0 rating it as an Overweight.

The stock currently trades at $2.37 and analysts tracking its performance over the next 12 months have a consensus estimate price target of $3.50. The forecasts give the Genworth Financial Inc. stock a price target range of $3.00 on the higher side while at least one analyst think the stock could plunge to a low of $3.00. The two limits represent an upside potential of 21.0% or 21.0%.

Earnings Forecast

Analysts estimate the earnings to decrease -2,966.70% in the current quarter to $0.01, down from the $0.04 reported in the same quarter a year ago. For the current year, earnings should grow to an average of -$0.43, down -1.60% from $0.67 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between $0.01 and $0.07. Wall Street estimates earnings per share to be at an average of $0.28 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 16 over the last 12 months, while SEC filings reveal that there have been 16 insider sales over the same period. Insiders have purchases 2,864,840 shares while those sold by company executives and officers stand at 1,126,544. The last 3 months have seen insiders trade a total of 0 and 0 in purchases and sales respectively.

GSX Techedu Inc. (NYSE:GSX), on the other hand, is trading around $81.59 with a market cap of $19.56B and analyst research firms have a negative stance on its shares. Analysts predict that the stock will reach $73.70 and spell out a less modest performance – a -10.71% return. Some analysts are even forecasting $0.43 per share in earnings this year on a short term (1 year) basis.

Let us briefly look at the GSX Techedu Inc. (GSX) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

GSX’s operating expenses over the recent quarter were at $130.27 million. This represented a 28.91% of the company’s total revenues which amounted $183.25 million. With this in place, we can see that the company’s diluted EPS inclined $0.08 on the year-over-year period, growing to $0.01 as given in the last earnings report.

In terms of the balance sheet & cash flow as of (Jun 2020), the total assets figure advanced to $591.39 million from $487.59 million over the previous quarter. Short term investments amounted to $141.67 million while total current assets were at $276.83 million. The company’s free cash flow for the quarter was $0.0.

Major holders

Investors are also buoyed by the number of investors in a company, with GSX Techedu Inc. having a total of 111 institutions that hold shares in the company.