- SSR Mining (SSRM) shows strong technical momentum, hitting a new three-year high on Aug. 29.
- Shares are up an impressive 260% over the past year.
- Fundamentals are robust, with projected revenue and earnings growth exceeding 50% and 400%, respectively, over the next year.
- Analyst sentiment is mostly positive, but opinions are mixed, with some cautioning overvaluation and volatility.
Today’s Featured Stock
Valued at $3.7 billion, SSR Mining (SSRM) is a mining company. It focused on the operation, development, exploration and acquisition of precious metal projects. The company primarily explores for gold, silver, and mineral properties.
What I’m Watching
I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals; superior current momentum in both strength and direction; and a Trend Seeker “buy” signal. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. SSRM checks those boxes. Since the Trend Seeker signaled a buy on Aug. 7, the stock has gained 23.32%.
SSRM Price vs. Daily Moving Averages:
Barchart Technical Indicators for SSR Mining
Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.
SSR Mining shares hit a new 3-year high on Aug. 29, touching $18.58 during morning trading.
- SSR Mining has a Weighted Alpha of +253.05.
- SSRM has an 100% “Buy” opinion from Barchart.
- The stock gained 260.08% over the past year.
- SSRM has its Trend Seeker “Buy” signal intact.
- SSR Mining is trading above its 20-, 50-, and 100-day moving averages.
- The stock made 18 new highs and gained 51.43% in the last month.
- Relative Strength Index (RSI) is at 77.42%.
- There’s a technical support level around $18.09.
Don’t Forget the Fundamentals
- $3.7 billion market capitalization.
- 19.83x trailing price-earnings ratio.
- Revenue is projected to grow 55.72% this year and another 22.33% next year.
- Earnings are estimated to increase 439.23% this year and an additional 63.38% next year.
Analyst and Investor Sentiment on SSR Mining
I don’t buy stocks because everyone else is buying, but I do realize that if major firms and investors are dumping a stock, it’s hard to make money swimming against the tide.
It looks like Wall Street analysts are leaning toward SSRM.
- The Wall Street analysts tracked by Barchart have issued 3 “Strong Buy,” 1 “Moderate Buy,” 6 “Hold,” and 1 “Sell” opinion on the stock.
- Their price targets are between $10.70-$19.71.
- Value Line gives the stock an “Below Average” rating.
- CFRA’s MarketScope Advisor gives the stock a “Strong Buy” rating.
- Morningstar thinks the stock is 65% overvalued.
- 104 individual investors following the stock on Motley Fool think the stock will beat the market while 21 think it won’t.
- 14,930 investors monitor the stock on Seeking Alpha, which rates the stock a “Strong Buy.”
The Bottom Line on SSR Mining
SSRM currently has momentum and is hitting new highs. With price appreciation and double-digit growth projected in both revenue and earnings, this might warrant further consideration.
I caution that SSRM is volatile and even speculative in the current environment, which means investors should use strict risk management and stop-loss strategies.
Today’s Chart of the Day was written by Jim Van Meerten. Read previous editions of the daily newsletter here.
Additional disclosure: The Barchart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.
