- Pulse Biosciences (PLSE) just hit a new 5-year high and has strong technical momentum.
- Shares are up more than 100% over the past 52 weeks.
- Revenue is projected to surge 652.38% this year and 236.71% next.
- Analyst sentiment is mixed, with ratings from “Strong Buy” to “Strong Sell,” reflecting its high valuation and lack of earnings.
Today’s Featured Stock
Author’s note: Since this is a biotech startup without established financials, I think it’s important to share an enhanced description of what the company hopes to accomplish.
Valued at $2.27 billion, Pulse Biosciences (PLSE) is committed to health innovation using its patented Nano-pulse Stimulation (NPS) technology, a revolutionary energy modality that delivers nanosecond-duration pulses of electrical energy to non-thermally clear targeted cells while sparing adjacent non-cellular tissue.
NPS technology, also referred to as Nanosecond Pulsed-Field Ablation (nsPFA) technology when used to ablate cellular tissue, can be used to treat a variety of medical conditions. The company developed its proprietary CellFX System, a novel nsPFA delivery platform, and commercialized the initial application of its nsPFA technology to treat benign lesions of the skin. In parallel, it designed a variety of applicators to explore the potential use of the CellFX platform to treat disorders in other medical specialties, such as cardiology, gastroenterology, gynecology, and ear, nose and throat.
What I’m Watching
I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals; superior current momentum in both strength and direction, Weighted Alpha above 50+ and a 60-Month Beta over 1.5. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. PLSE checks those boxes. The Trend Seeker issued a new “Buy” signal on July 17. Since then, the stock has gained 9.22%.
Barchart’s Technical Indicators for Pulse Biosciences
Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.
Pulse Biosciences scored a 5-year high of $33.87 on July 20.
- Pulse has a Weighted Alpha 56.01.
- PLSE has a 100% “Buy” opinion from Barchart.
- The stock has gained 104.71% over the past 52 weeks.
- Pulse has its Trend Seeker “Buy” signal intact.
- The stock recently traded at $30.80 with a 50-day moving average of $26.67.
- PLSE has made 3 new highs and gained 18.91% over the past month.
- 60-month beta of 1.65.
- Relative Strength Index (RSI) is at 61.38.
- There’s a technical support level around $30.08.
Don’t Forget the Fundamentals
- $2.27 billion market capitalization.
- Revenue is projected to grow 652.38% this year and another 236.71% next year.
- The company is not expected to break even soon.
Analyst and Investor Sentiment on Pulse Biosciences
- The Wall Street analysts followed by Barchart give the stock 3 “Strong Buy” and 1 “Hold” opinions with price targets between $30 and $32.
- Value Line rates the stock “Above Average.”
- CFRA’s MarketScope rates the stock a “Strong Sell” based mainly on its high valuation and lack of profitability.
- Morningstar thinks the stock is 12% undervalued with a fair value of $37.25.
- 2,600 investors are following the stock on Seeking Alpha, which rates it a “Hold.”
- Short interest is 4.13% of the float with 6.59 days to cover the float.
The Bottom Line on Pulse Biosciences
This stock came to my attention purely on its price momentum alone. I have given you a long description of what this company is trying to accomplish. If you think it can find medical solutions that can be produced and distributed at a profit, then buy it, but if you have no idea, look for other stocks that already have revenue and earnings.
Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.
On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.