Universe Pharmaceuticals INC (UPC) Shares: Are They Risky Or Cheap?

Universe Pharmaceuticals INC (NASDAQ:UPC) finished Friday with a subtraction of -$0.1 to close at $1.57, a downside of -5.95 percent. An average of 139,780 shares of common stock have been traded in the last five days. There was a fall of -$0.0879 in the past week, and it reached a new high 28 times over the past 12 months. The last 20 days have seen an average of 72,861 shares traded, while the 50-day average volume stands at 54,362.

UPC stock has decreased by -29.25% in the last month. The company shares reached their 1-month lowest point of $1.5000 on 08/11/23. With the stock rallying to its 52-week high on 01/09/23, shares of the company touched a low of $1.63 and a high of $12.48 in 52 weeks. It has reached a new high 4 times so far this year and lost -81.95% or -$7.1294 in price. In spite of this, the price is down -87.42% from the 52-week high.

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Valuation Metrics

Universe Pharmaceuticals INC (UPC) stock’s beta is 1.46. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 0.14, the price-to-book (PB) ratio at 0.12.

Financial Health

The quick ratio of Universe Pharmaceuticals INC for the recent quarter was 4.70, and the current ratio was 5.10, indicating that the company is able to meet its debt obligations. Further, the company has a long term debt to equity ratio of 0.00 and a total debt to equity ratio of 0.07 for the recent quarter. Its gross profit as reported stood at $21.89 million compared to revenue of $40.14 million.

Earnings Surprise

For the recent quarter, Universe Pharmaceuticals INC had $13.15 million in cash. The company posted a net income of -$8.74 million in the quarter, while revenues were grew 229.52%.

Technical Picture

From a technical analysis perspective, let’s take a brief look at Universe Pharmaceuticals INC (UPC) price momentum. RSI 9-day as of the close on 11 August was 23.96%, suggesting the stock is oversold, with historical volatility in this time frame at 78.86%.

As of today, UPC’s price is $1.6801 -5.30% or -$0.0879 from its 5-day moving average. UPC is currently trading -29.04% lower than its 20-day SMA and -55.63% lower than its 100-day SMA. However, the stock’s current price level is -54.87% below the SMA50 and -74.10% below the SMA200.

The stochastic %K and %D were 4.19% and 6.08%, respectively, and the average true range (ATR) was 0.2680. With the 14-day stochastic at 5.56% and the average true range at 0.2683, the RSI (14) stands at 27.95%. The stock has reached -0.0753 on the 9-day MACD Oscillator while the 14-day reading was at -0.2202.

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