Is QuinStreet, Inc. (NASDAQ:QNST) Overbought?

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QuinStreet, Inc. (NASDAQ:QNST) is at overbought status with a 14-day RSI of 83.64.

The Relative Strength Index (RSI) is one of the most widely used technical indicators used to determine strengthening and weakening momentum in price action. RSI levels 70 and above are considered overbought and under 30 is considered oversold. Overbought is a technical condition that occurs when prices are considered too high and may be susceptible to a decline.

Volatility

QuinStreet, Inc. has a beta of 1.08 indicating it is higher in volatility than the market as a whole. Stocks with beta’s lower than 1 are considered to be less risky than the market while those with a higher beta are more risky than the market over the long haul.

The stock’s Average True Range (ATR) is currently 0.34. The ATR is an indicator of volatility. It doesn’t indicate the likely direction of the stock price, just the likelihood that the stock will move.

The stock last traded at $7.00 quite a bit above the 50 day moving average which is $4.78 and which is quite a bit above the 200 day moving average of $4.12. The 50 day moving average was up by +46.31% and the 200 day average was up $2.88.

Short Interest

Investors are a little more bearish of late as implied by the change in short interest. The stock recorded a rise in short interest of 0.60% as of August 31, 2017 from the last reporting period. Short shares grew 2,708 over that period. The short-interest ratio decreased to 3.0 and the percentage of shorted shares was 0.01% on August 31.

Insider Activity

QuinStreet, Inc. (NASDAQ:QNST) has been the object of insider selling activity recently. Nina Bhanap, CTO disclosed the sale of 5,905 shares. The shares were purchased at an average price of $4.00. The CTO now owns $1,074,828 of the stock according to the SEC filing.

In the latest earnings report the EPS was $-0.27 and is expected to be $0.21 for the current year with 45,712,000 shares now outstanding. Next quarter’s EPS is expected be $0.01 and the next full year EPS is projected to be $0.24.

Company Information

QuinStreet, Inc., launched on October 23, 2009, is an online performance marketing company. The Company is focused on serving clients in information-intensive industry verticals media, and offerings help visitors to make informed choices and find the products that match their needs. The Business’s segments include Direct Marketing Services (DMS) and All Other. The Company is also focused on developing and delivering measurable marketing results in the search engine ecosystem. It owns or partners with vertical content Websites. It also acquires targeted visitors for its Websites through the purchase of pay-per-click (PPC), advertisements on search engines. It builds Websites with content and offerings, and sells by matching visitors with offerings and converting them into customer prospects for its clients..