Neonode (NASDAQ:NEON) Share Price Crosses Above Two Hundred Day Moving Average - Should You Sell?

Key Points

• Neonode Inc. (NASDAQ:NEON) recently saw its stock price cross above the 200-day moving average, trading at $25.00 after a high of $26.01.
• Analysts have cut their rating from "hold" to "sell," with a consensus rating of "Buy" and an average price target of $16.50.
• Neonode reported a quarterly loss of ($0.12) per share, missing estimates, with a negative net margin of 241.38% and forecasted earnings of -0.42 EPS for the current fiscal year.

Neonode Inc. (NASDAQ:NEON - Get Free Report) crossed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $14.45 and traded as high as $26.01. Neonode shares last traded at $25.00, with a volume of 303,943 shares changing hands.

Analyst Ratings Changes

Separately, Wall Street Zen downgraded shares of Neonode from a "hold" rating to a "sell" rating in a research report on Thursday, May 22nd. One equities research analyst has rated the stock with a Buy rating, According to data from MarketBeat.com, Neonode has an average rating of "Buy" and an average target price of $16.50.

Neonode Stock Down 1.9%

The company has a market capitalization of $382.42 million, a price-to-earnings ratio of -32.17 and a beta of 0.77. The business's 50-day moving average is $24.18 and its 200-day moving average is $14.76.

Neonode (NASDAQ:NEON - Get Free Report) last issued its quarterly earnings data on Wednesday, August 13th. The electronics maker reported ($0.12) earnings per share for the quarter, missing analysts' consensus estimates of ($0.10) by ($0.02). The firm had revenue of $0.60 million during the quarter, compared to analyst estimates of $0.57 million. Neonode had a negative return on equity of 40.64% and a negative net margin of 241.38%. As a group, analysts expect that Neonode Inc. will post -0.42 EPS for the current year.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. Ameritas Investment Partners Inc. acquired a new position in shares of Neonode in the second quarter worth about $27,000. Legal & General Group Plc acquired a new position in shares of Neonode in the second quarter worth about $29,000. BNP Paribas Financial Markets raised its position in shares of Neonode by 238.9% in the second quarter. BNP Paribas Financial Markets now owns 1,820 shares of the electronics maker's stock worth $46,000 after acquiring an additional 1,283 shares during the period. Police & Firemen s Retirement System of New Jersey acquired a new position in shares of Neonode in the second quarter worth about $59,000. Finally, New York State Common Retirement Fund acquired a new position in shares of Neonode in the second quarter worth about $125,000. Institutional investors and hedge funds own 11.63% of the company's stock.

About Neonode

Neonode Inc, together with its subsidiaries, develops optical sensing solutions for contactless touch, touch, and gesture sensing in the United States, Japan, South Korea, Germany, Switzerland, France, Sweden, China, and internationally. It also offers software solutions for machine perception to detect and track persons and objects in video streams from cameras and other types of imagers.