Alert: Negative Investment/Fundamental Signals (11/22/19)-Extended Stay America Inc (NASDAQ: STAY)


Recent exceptional negative changes in investment behavior have affected Extended Stay America Inc (NASDAQ: STAY): its shorter term price trend turned down, and the stock fell on very heavy volume.

Extended Stay America Inc (NASDAQ: STAY) suffers from significant negative changes in fundamentals: the consensus estimate for December, 2019 decreased significantly, and the consensus estimate for December, 2020 decreased significantly.

In light of these highly negative signals we are reviewing our current Overall Rating of F. We would continue to view the shares with caution pending completion of this review in the next several days.


Current PriceTarget Research Rating

STAY’s future returns on capital are forecasted to be above the cost of capital. Accordingly, the company is expected to continue to be an important Value Builder.

STAY has a current Value Trend Rating of F (Lowest Rating). The Value Trend Rating reflects inconsistent signals from PTR’s two proprietary measures of a stock’s attractiveness. STAY has a neutral Appreciation Score of 41 but a poor Power Rating of 21, producing the Lowest Value Trend Rating.

Recent Price Action

Extended Stay America Inc (NASDAQ: STAY) stock suffered a large decline of -2.4% on 11/22/19. The stock closed at $14.48. Moreover, this decline was accompanied by exceptionally high trading volume at 222% of normal. Relative to the market the stock has been weak over the last nine months and has declined -1.4% during the last week.

About John Lafferty 80532 Articles
During his career, John has developed valuation and stock rating methodologies, managed institutional portfolios and mutual funds, and provided equity research to institutional investors on thousands of companies. He has been Director of Research at PTR since its inception in 2004.

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