Diebold Nixdorf, Incorporated (DBD) Is Heating Up. Time to Buy?

Analysts are forecasting revenue to suffer decline of -2.3 percent to $1.22B in the next fiscal quarter, while earnings are seen soaring by nearly -100 percent to $0 per share. History has shown that shares in Diebold Nixdorf, Incorporated have gone down on 25 different earnings reaction days and are predicted to add 0.05 percent when the company reports upcoming earnings. In last reported earnings results, it earned -$0.61 per share, worse than the -$0.12, adjusted, expected by Thomson Reuters consensus estimate. Revenue was $1.12B, better than the $1.1B analysts expected. Earnings are estimated to increase by 21.6 percent this year, 89.4 percent next year and continue to increase by 3 percent annually for the next 5 years.

Diebold Nixdorf, Incorporated (DBD) will probably climb -31.13 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $5 price as 12-month high target. This represents a whopping -31.13 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $5, which represents a return potential of -31.13 percent when compared to the closing price of the stock of $7.26 on Wednesday, February 13. The lowest price target for the stock is $5 — slightly more than -31.13 percent from DBD’s current share price.

The stock is currently hovering around the first support level of $6.68. Below this, the next support is placed in the zone of $6.09. Till the time, the DBD stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 87.58 on daily chart, which may remain a cause for concern. If the price breaks below $6.09 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $7.74 mark may result into a pull-back move towards $8.21 level.

On 13th of February, Diebold Nixdorf, Incorporated (NYSE:DBD) shares ended higher after a volatile session. The shares accumulated 2.04 points or 39.08 percent at $7.26 with a heavy trade volume of 17.812 million shares. After opening the session at $7.25, the shares went as high as $7.63 and as low as $6.57, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $566 million and now has 77.94 million shares outstanding. Diebold Nixdorf, Incorporated (DBD) stock has gained 86.63 percent of market value in 21 trading days.

DBD stock has a trailing 3-year beta of 2.44, offering the possibility of a higher rate of return, but also posing more risk. The portion of a company’s profit allocated to each outstanding share of common stock was -$5.9 a share in the trailing twelve months. The stock’s value has surged 191.57 percent year to date (YTD) against a decline of -50.1 percent in 12 month’s time. The company’s shares still trade -59.78 percent away from its 1-year high of $18.05 and 201.24 percent up from 52-week low of $2.41. The average consensus rating on the company is 2.8, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a sell.

Shares of Diebold Nixdorf, Incorporated (DBD) are trading at a P/E ratio of 0 times earnings reported for the past 12 months. The industry DBD operates in has an average P/E of 13.79. Its P/E ratio went as low as 21.57X and as high as 34.15 over the 5-year span. Further, it is sporting a 0.12 on the Price-to-Sales ratio. Compare this with the industry average P/S of 0.76. 21.7 percent is the gross profit margin for Diebold Nixdorf, Incorporated and operating margin sits at -6.3 percent. Along with this, the net profit margin is -11.7 percent.

Let’s take a look at some insider activity at Diebold Nixdorf, Incorporated (NYSE:DBD) and see the pattern. The earliest insider trade took place on 05/24/2018. Fitzgerald Gale S gathered a total of 3 thousand shares of company at average share price of $11.59. The total for the purchase was set at $34.77 thousand. After this transaction, the Director account balance stood at 64.53 thousand shares. The stock lost -37.36 percent since that insider purchase. On 05/08/2018, Schmid Gerrard, President and CEO, purchased 10 thousand shares at a price per share of $11.85. This added 118.5 thousand shares to the insider’s fortune and the stock saw a -38.73 percent retreat in value since the news became public. This transaction left 127.25 thousand shares in the President and CEO account.

On 05/07/2018, Director Allender Patrick W performed a purchase transaction worth $296.75 thousand. This purchase at $11.87 each has added 25 thousand shares into the insider’s portfolio position. Meanwhile, shares have recorded -38.84 percent decrease since the transaction was reported. The insider now is left with 61.44 thousand shares remaining in the account. Schmid Gerrard, who performs the President and CEO job, bought 8.3 thousand shares for $97.94 thousand. The acquisition occurred on 05/04/2018 was priced at $11.8 per share. The share price plunged -38.47 percent since the reporting date. Schmid Gerrard now left with a stake of 117.25 thousand DBD stock worth $851.2 thousand after the insider buying.