Why is cree stock down

In investing, sentiment generally means whether or not a given security is in favor with investors. It is typically a pretty short-term metric that relies entirely on technical analysis. Price action is generally the best indicator of sentiment. For a stock to go up, investors must feel good about it.

Similarly, a stock that is in a downtrend must be out of favor. Increasing volumes often mean that a trend is strengthening, while decreasing volumes can signal that a reversal could come soon. EDT, Cree's stock has fallen 7. It's not only the company's disappointing earnings report that's driving investors to hit the sell button; Wall Street is also unimpressed with what the company had to say yesterday.

The problem that investors have with the results, though, is how the company performed under generally accepted accounting principles ; in that regard, the company's performance was considerably worse.

Investors are also unhappy with the company's cash flow during the last quarter. Another sore spot for investors was the company's outlook for Q1 How unimpressed was Wall Street with the company's Q4 report? Not one, not two, but three analysts espoused more bearish views on the stock, according to TheFly. Continuing to report losses and burn through cash, Cree is not powering much in the way of excitement for investors today. Semiconductor demand remains incredibly high, so investors are eager to see the company's Mohawk Valley fabrication facility come online.

Management maintains that production will begin in the first half of the calendar year. If the company succeeds in meeting this timeline and ramping up production quickly, it may electrify the bulls' enthusiasm for the stock. Discounted offers are only available to new members. Stock Advisor will renew at the then current list price. Average returns of all recommendations since inception. All rights reserved. August 18th, by Trefis Team - Rate votes Share. Comments Name Required. Email Required, but never displayed.

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