Which Way Are Traders Betting This Stock Will Go: Lear Corporation (NYSE:LEA)? A Look at the Shorts

According to the latest data, investors are looking at Lear Corporation (NYSE:LEA)’s short data and trying to figure out market sentiment on which way the market thinks the stock is moving. The firm has 3.31% of total shares float short, yielding a short ratio of 2.09.

Sharp investors typically realize that stock returns can fluctuate, and the periods of extreme ups and downs can sometimes be quite long. It can be very difficult to predict when a big market downturn will occur. However, investors who have a plan in place will often find themselves in a better position than those who do not. Investors following an individual plan can include some preparation for the unknown. The plan may involve specific criteria, and it may be uniquely tailored to suit the individual’s goals. When markets get choppy, it can be tempting for the individual investor to go into survival mode. Some of the best stock buying opportunities will present themselves during a lengthy period of decline. Being ready to pounce on these opportunities might end up being a huge benefit to the investor when the time comes.

Top notch investors are usually adept at filtering through the constant financial headlines. Now more than ever, there is an unprecedented amount of news and data regarding publically traded companies. Most of the focus is typically on the short-term and it tends to focus around near-term forecasts. Although more information is probably a good thing when looking at the bigger picture, being able to zoom in on the proper information can be quite a challenge. Tuning out all the unnecessary noise isn’t easy, but it may help the investor make better decisions. Constantly switching investments based on the headlines of the day may end up leaving the investor wondering what went wrong. Analyzing the right information can be an essential part of any solid stock investing plan.

Shorting a stock can be very risky if the price doesn’t decline like planned and, in fact, increases.  It’s important for any investor to understand the dangers and potentially catastrophic financial losses of short selling.

RECENT PERFORMANCE AND RECOMMENDATION

Let’s take a look at how the stock has been performing recently.  Over the past twelve months, Lear Corporation (NYSE:LEA)’s stock was 19.09%.  Over the last week of the month, it was 15.72%, 8.34% over the last quarter, and  -21.75% for the past six months. 

Over the past 50 days, Lear Corporation stock’s 0.63% off of the high and 27.85% removed from the low.  Their 52-Week High and Low are noted here.  -29.09% away from the high and 27.85% from the low. 

Many individuals strive to expand their wealth by investing in the stock market. There are countless factors that come in to play when analyzing which stocks to invest in. Along with all the tangible information provided by publically traded companies, there are plenty of intangibles. It is fairly easy to comb through the balance sheet to find out detailed performance numbers, but it can be extremely difficult to measure other aspects such as competitive advantage, reputation, and leadership competency. Sometimes all the rational calculations will point to a buy, but there may be other influences that may not support the case and will need to be addressed. Investors who are willing to go the extra mile when conducting stock research may find that crucial decisions become a little bit less strenuous down the road.

The consensus analysts recommendation at this point stands at 1.90 on Lear Corporation (NYSE:LEA).  This is based on a 1-5 scale where 1 indicates a Strong Buy and 5 a Strong Sell. The same analysts are predicting that the company shares will trade to $170.69 within the next 12-18 months.