Westrock Co, McDonald's, LKQ Corp, among others, are the consumer discretionary stocks approaching important price targets.
A quick recap of where the last trading session ended: Leading equity indices in the US declined as S&P 500 lost 1.11% and ended the session at 3,852.36. Dow Jones slipped 0.85% and closed at 32,920.
What is a Price Target?
A "price target" is an estimate of the future price of a stock based on earnings forecasts and assumed valuation multiples. Price targets are typically generated by respected market analysts who believe a stock to be fairly valued relative to its projected and historical earnings. Target prices are used to evaluate stocks and can help investors evaluate the potential risk/reward profile of a stock. Let's review some consumer discretionary stocks and their price targets.
Westrock's price target: $34.62 | Last close: $35.07 | Daily range: $34.66 – $35.6 | Off hours: $35.07
A persuasive break of this target could lead to higher losses.
Having fallen $1.1 in 4 days, Friday's session continued down the same path: early in Friday's session, Westrock dropped to $34.66 from $35.79 at the end of Thursday, before closing at $35.07. During the session, it lost 2%.
Daily trading volume (4 million shares) was above the current multiday average of 1.68 million.
McDonald's's price target: $264.25 | Last close: $266.12 | Daily range: $265.76 – $271 | Off hours: $266.12
Early in Friday's session, McDonald's dropped to $265.76 from $271.73 at the end of Thursday, before closing at $266.12. During the session, it lost 2.06%.
Continuing its a 5 day bearish run (-$4.89), McDonald's showed losses Friday. Daily trading volume (5.31 million shares) increased, making up 179% of the 21-day average (2.97 million).
The fast food company is up 22.4% from the significant low of $222 it hit 9 months ago. McDonald's's market cap currently stands at $194.91 billion with an average daily trading volume of 2.97 million shares. So far in 2022, it has been outperforming the Dow Jones by 10.14%. McDonald's has a forecast of $5.69 billion with an EPS of $2.58.
A convincing break of this target could pave the way for deeper losses.
LKQ Corp's price target: $52.3 | Last close: $52.63 | Daily range: $52.37 – $53.11 | Off hours: $52.63
LKQ Corp's downtrend might be halted by its support level at $52.3, which is only 33 cents away.
Having fallen $1.17 in 4 days, more of the same from Friday's session: early in Friday's session, LKQ Corp dropped to $52.37 from $53.27 at the end of Thursday, before closing at $52.63. During the session, it lost 1.2%.
Daily trading volume (4.26 million shares) was higher than the current multiday average of 1.30 million.