Long Story Short: Time To Watch Intrepid Potash, Inc. (IPI)

Analysts are forecasting revenue to climb 8.7 percent to $36.19M in the next fiscal quarter, while earnings are seen soaring by nearly -200 percent to $0.03 per share. History has shown that shares in Intrepid Potash, Inc. have gone down on 21 different earnings reaction days and are predicted to add 0.07 percent when the company reports upcoming earnings. In last reported earnings results, it earned $0.03 per share, worse than the $0.04, adjusted, expected by Thomson Reuters consensus estimate. Revenue was $36.53M, better than the $35.85M analysts expected. Earnings are estimated to increase by 77.5 percent this year, 184.38 percent next year and continue to increase by 0 percent annually for the next 5 years.

Intrepid Potash, Inc. (IPI) will probably climb 13.67 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $7 price as 12-month high target. This represents a whopping 87.67 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $3.63, which represents a return potential of -2.68 percent when compared to the closing price of the stock of $3.73 on Wednesday, February 13. The lowest price target for the stock is $2.7 — slightly more than -27.61 percent from IPI’s current share price.

The stock is currently hovering around the first support level of $3.4. Below this, the next support is placed in the zone of $3.06. Till the time, the IPI stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 73.71 on daily chart, which may remain a cause for concern. If the price breaks below $3.06 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $3.91 mark may result into a pull-back move towards $4.08 level.

On 13th of February, Intrepid Potash, Inc. (NYSE:IPI) shares ended higher after a volatile session. The shares accumulated 0.51 points or 15.84 percent at $3.73 with a light trade volume of 2.24 million shares. After opening the session at $3.24, the shares went as high as $3.75 and as low as $3.2391, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $484 million and now has 129.84 million shares outstanding. Intrepid Potash, Inc. (IPI) stock has gained 19.55 percent of market value in 21 trading days.

IPI stock has a trailing 3-year beta of 1.09, 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 $0.02 a share in the trailing twelve months. The stock’s value has surged 43.46 percent year to date (YTD) against a rise of 7.18 percent in 12 month’s time. The company’s shares still trade -29.76 percent away from its 1-year high of $5.31 and 48.61 percent up from 52-week low of $2.51. The average consensus rating on the company is 0, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a buy.

Shares of Intrepid Potash, Inc. (IPI) are trading at a P/E ratio of 0 times earnings reported for the past 12 months. The industry IPI operates in has an average P/E of 23.22. Its P/E ratio went as low as 18.34X and as high as 107.55 over the 5-year span. Further, it is sporting a 2.78 on the Price-to-Sales ratio. Compare this with the industry average P/S of 2.11. 14.1 percent is the gross profit margin for Intrepid Potash, Inc. and operating margin sits at 2.1 percent. Along with this, the net profit margin is 1.6 percent.

Let’s take a look at some insider activity at Intrepid Potash, Inc. (NYSE:IPI) and see the pattern. The earliest insider trade took place on 02/12/2019. Clearway Capital Management Lt gathered a total of 200 thousand shares of company at average share price of $3.22. The total for the purchase was set at $644 thousand. After this transaction, the 10% Owner account balance stood at 17.07 million shares. The stock grew 11.8 percent since that insider purchase. On 01/10/2019, Clearway Capital Management Lt, 10% Owner, purchased 203.47 thousand shares at a price per share of $3.18. This added 647.03 thousand shares to the insider’s fortune and the stock saw a 13.21 percent rally in value since the news became public. This transaction left 16.87 million shares in the 10% Owner account.

On 12/13/2018, 10% Owner Clearway Capital Management Lt performed a purchase transaction worth $150 thousand. This purchase at $3 each has added 50 thousand shares into the insider’s portfolio position. Meanwhile, shares have recorded 20 percent increase since the transaction was reported. The insider now is left with 16.67 million shares remaining in the account. Whyte James N, who performs the EVP job, sold 88.09 thousand shares for $376.14 thousand. The disposal occurred on 11/09/2018 was priced at $4.27 per share. The share price plunged -15.69 percent since the reporting date. Whyte James N now left with a stake of 268.25 thousand IPI stock worth $1 million after the insider selling.