(PIERCE) Pierce - Ratings and Ratios

Pierce Group AB is a Swedish e-commerce entity specializing in the distribution of motorcycle and snowmobile parts, gears, and accessories across Europe, operating through three distinct segments: Offroad, Onroad, and Other. The company has established a strong presence in the market through its brands, including 24MX for motocross and enduro enthusiasts, XLMOTO for highroad motorcycle riders, and Sledstore for snowmobile aficionados. With its headquarters in Stockholm, Sweden, and founded in 2008, Pierce Group AB has demonstrated a robust growth trajectory.

Analyzing the companys market presence and operational segments, it is evident that Pierce Group AB has a diversified revenue stream across different motorcycle and snowmobile enthusiast categories. The companys ability to cater to a broad customer base through its multiple brands positions it well for capturing market share in the e-commerce segment of the powersports industry. Its online presence, as indicated by its website https://www.piercegroup.com, suggests a strong direct-to-consumer sales strategy.

From a technical analysis perspective, the stocks current price is 7.98 SEK, slightly below its 20-day Simple Moving Average (SMA) of 8.05 SEK, indicating a potential bearish trend in the short term. The Average True Range (ATR) of 0.44 SEK, representing a 5.54% volatility, suggests that the stock is experiencing moderate price movements. Considering the 52-week high and low of 11.50 SEK and 7.28 SEK, respectively, the stock is currently trading near its lower end, potentially indicating an oversold condition or a value buying opportunity.

Combining the technical analysis with fundamental data, the Market Cap of 636.58M SEK and a negative Return on Equity (RoE) of -3.50% indicate that while the company has a considerable market presence, it is currently facing profitability challenges. The absence of P/E and Forward P/E ratios further underscores the companys current unprofitability. Given these factors, a forecast for Pierce Group AB would depend on its ability to return to profitability and effectively manage its operational costs.

Based on the available data, a potential forecast could involve a rebound in the stock price if the company demonstrates a clear path to profitability. Should Pierce Group AB successfully navigate its current challenges and improve its RoE, the stock could potentially see an upward trajectory, targeting the 20-day SMA of 8.05 SEK as an initial resistance level, followed by the 50-day SMA of 8.98 SEK. Conversely, failure to address profitability concerns could lead to further downward pressure on the stock price, potentially testing the 52-week low of 7.28 SEK.