Neutral/Negative Catalysts
- Technically still a bearish moving-average stack (SMA_200 > SMA_20 > SMA_5), which often caps rallies.
- Earnings/guidance reset: multiple firms cut price targets after Q4 miss and FY26 guidance below consensus; “unexpected cost headwinds,” ERP implementation acceleration, and tax headwinds were cited.
- Profitability pressure: gross margin down YoY in the latest quarter—supports the narrative of near-term margin/cost headwinds.
- No supportive news catalysts in the past week to shift sentiment quickly.