SELL Ehealth (EHTH). Endava Plc (DAVA) moves to HOLD
Most of our stocks have been heading north but over the last week (or more) both Ehealth (EHTH) and Endava (DAVA) have diverged from the pack and headed south. Neither stock looks particularly broken and there’s been no big news release from either management team about any fundamentally negative developments.
Still, when the broad market has been in rally mode and two stocks drop below their 200-day moving average lines those two stand out like a couple of black eyes. Rather than sit by and see what happens when the market’s rally cools (which might be happening today) I’m moving Ehealth to Sell and Endava to Hold. We’ll end up with a small gain on Ehealth, which will remain on my watch list for potential inclusion at a later date.
In other news, Cryoport (CYRX), which was moved to Hold last week after an intra-day crash and bounce (following pre-released earnings numbers) remains at hold and is doing just fine. In fact, the stock has surpassed its pre-release intra-day high. Keep holding. HOLD
Ratings Changes
Ehealth (EHTH) moves to SELL
Endava Plc. (DAVA) moves to HOLD