Cenn Stock Forecast 2023: Will CENN Fall Below $0.30 Again?
Cenn Stock Forecast: CENN stock is bearish and the trade recommendation is a Sell for CENN stock.
Latest CENN Stock Price
CENN Stock Forecast: Performance Summary
- 5 Days: -6.8%
- 6 Months: –82.8%
- YTD: -93.7%
Cenn Stock Forecast: Technical Analysis
In the mid of November 2020, CENN shares witnessed a massive surge as from trading close to $1, CENN stock was valued at close to $25 by the end of January 2021. However, for the next 12 months, the shares of CENN experienced a decline and by the end of January 2022, CENN was trading below $2 once again. Since then there has been no major surge in the price of CENN stock.
In the first week of November, CENN stock started to trade below $1 and at the time of writing, CENN is trading below $0.50.
The 52-week high for CENN was $7.8 while the low was $0.26.
What led to the Latest CENN Stock Price Surge?
CENN stocks have been continuously trading negatively in 2022 and the share price has hit the bottom leading to CENN becoming just a penny stock. However, CENN stock recently rallied over 50% and the reason behind this rally was that the electric vehicle (EV) producer started shipping vans to Europe. Logistar 260 multi-purpose, all-electric commercial vehicle and the Logistar 100 light commercial van are the two EVs that Cenntro has started to ship.
However, the surge lasted for just a day and with almost all the EV stocks losing big on December 22nd, CENN stock once again went close to $0.30.
Performance on the last Trading Day
- Open Price: $0.337
- Close Price: $0.404
- Change: -16.51%
- Overall Market Cap: $86,231,548
Analyzing the CENN Stocks WRT Technical Indicators
After rallying over 50% in a day, CENN stock closed nearly 17% down. However, CENN was not just the EV stock that suffered on the last trading day. Almost all the EV stocks, including TSLA, RIVN closed in the red.
CENN stock recently went above both the 50-day and 200-day moving averages. However, the shares are once again below the 50-day moving average. CENN has lost almost half of the gains that it made recently.
CENN failed to break above the critical resistance at $0.42 and the price started to fall once again. CENN is now trading close to $0.30. The first level of support for CENN is at $0.305 while the resistance is $0.370. CENN will have to hold above this support else it may reach closer to $0.20 once again.
The RSI of CENN is 49.47 and it is following a downtrend. CENN shares are expected to fall from here as the sellers have started to short the stock. We may see CENN stock fall further as there is enough room for RSI to fall before it enters the oversold territory.
The current momentum is bearish and the trade recommendation is a Sell.
Cenntro Stock Forecast Updated: What Lies in the Store for This Penny Stock
Cenntro Electric (CENN) listed on the stock exchange last year after merging into Naked Brands (an Australian seller of intimate apparel) has been a penny stock trading at only $1.26 (as of 5th September 2022). Let us analyze what should investors keep in mind before investing in this penny stock:
- Merger with defunct Naked Brand is not logical- Naked brand merged with Cenntro group in December 2021 via SPAC model, but this merger makes no sense for Cenntro group. The nakd brand had a brief run as meme stock in January 2021, when they announced to take the business into an e-commerce model, Reddit users liked the idea and took the share price from 40 cents to $1.75, apart from this Nakd was a loss-making company and merger with such a company has done no good to Cenntro Group. An intimate apparel brand is not likely to be accepted in the EV space which already has such fierce competition.
- Cenntro Starts Production of LogiStar 100 – As per reports, Cenntro Automotive has started production of LogiStar 100. It has a range of 75 miles, but can carry 1150 pounds and has 73 cubic feet of cargo space. Another worthy product under the belt is LogiStar 260 and both vehicles have passed the test for sale in European Union. The company plans to set up its first plant outside the US in Bulgaria. It is working on the possibility with its probable French partners.
The problems with Cenntro group are evident. Firstly, it is a penny stock with a stock price of just under $1.3 which makes it vulnerable to being manipulated. Secondly, the quarter results are not positive for the company. For instance, the company had a sale of just $6.6 million in the last six months ending July and reported a loss of $33 million.
It is better to avoid such penny stocks formed out of the SPAC merger till at least the company turns profitable in this competitive EV space.
CENN Gets listed on Russell 2000®, Russell 3000® and Russell Microcap® Indexes
- Reportedly, Cenntro Electric Group Limited, a leading EV maker, has been listed on the Russell 2000®, Russell 3000® and Russell Microcap® Indexes.
- This inclusion mark a significant milestone in the considerable growth of CENN over the past year.
- Financial managers and institutional investors majorly use Russell indexes during active investment strategies.
Note: Crowdwisdom360 collates Predictions and data from all over the net and has no in-house view on the likely trends in the Stocks or Crypto Coins. Please consult a registered investment advisor to guide you on your financial decisions.