$VMW potential bottom (3/5)

Conviction: 3/5
likely (40%) to go down more to touch lower trend line support (2008)


General Thesis

• potential bullish div on weekly RSI @ oversold levels
  
• could go down more to touch lower channel support (2008)
  
• hovering long-time resistance / support line from peak of 2007, which was broken by covid panic
  

Growth

• Gross margins high (82%), but decreasing since 2017
  
• Revenue growth about historical average (11%)
  

Value

• P/FCF below average
  
• P/S below average
  

Fundamentals & Balance Sheet

• low debt to asset (<1)
  
• quick ratio good (>1)
  

Potential Risks

• RSI-W not oversold yet
  
• expensive P/FCF
  
• another leg down for bullish divergence
  
• another leg down to touch lower trend line support
  

评论:

seems to have put in 5 waves up... looks more promising