(MFH) Mercurity Fintech Holding - Ratings and Ratios

Mercurity Fintech Holding Inc. (NASDAQ:MFH) is a fintech company specializing in blockchain infrastructure and decentralized technologies. The firm provides business consulting services, distributed storage solutions, and computing power for cryptocurrency mining operations. Its services include cloud storage for decentralized platforms and participation in mining pools. Formerly known as JMU Limited, the company rebranded as Mercurity Fintech Holding Inc. in April 2020 to reflect its strategic shift toward fintech and blockchain innovation. Headquartered in New York, the company was incorporated in 2011 and operates at the intersection of financial services and decentralized technologies.

The stock is listed on the NASDAQ under the ticker symbol MFH and is classified under the Application Software sub-industry. As of the latest data, the stock has established support levels at 5.4, 3.0, and 1.5. The average trading volume over the past 20 days is 136,524 shares, with a last price of 5.55. The stocks short-term trend indicators show an SMA20 of 6.99 and SMA50 of 6.79, while the SMA200 stands at 3.32. The Average True Range (ATR) is 0.76, indicating moderate volatility.

From a fundamental perspective, Mercurity Fintech holds a market capitalization of $439.96 million. The company currently reports a price-to-book (P/B) ratio of 31.29 and a price-to-sales (P/S) ratio of 613.73, reflecting a premium valuation relative to its book value and revenue. The return on equity (RoE) is -52.47%, highlighting challenges in generating profitability. The lack of positive P/E and forward P/E ratios suggests either negligible or negative earnings.

3-Month Forecast (Based on Technical and Fundamental Data): - Price Movement: The stock is likely to face resistance at the SMA20 (6.99) and SMA50 (6.79) levels. Support levels at 5.4, 3.0, and 1.5 may act as potential floors. - Technical Outlook: The death cross (SMA50 < SMA200) and the stock trading below its SMA20 indicate bearish momentum. The ATR of 0.76 suggests moderate volatility, with potential price swings of ±$0.38 to ±$0.76 per session. - Fundamental Risks: The high P/B and P/S ratios, combined with negative RoE, signal overvaluation concerns. Without significant improvements in profitability, the stock may face selling pressure. - Target Range: Over the next three months, the stock is projected to trade between 3.0 and 6.99, with a potential breakdown below 3.0 if support levels fail. Upside is limited by resistance at the SMA20 and SMA50.