SOBO Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Loading...
SOBO is not a good buy right now for an impatient buyer. The stock is extended into near-term resistance (~28.47) with momentum starting to cool (MACD contracting) and the short-horizon pattern model skewing slightly negative. With no fresh news catalyst and no proprietary buy signals today, the risk/reward is better on a pullback toward ~27.5 (pivot) or ~26.5 (S1) rather than chasing at 28.44.
Price/Trend: Bullish structure (SMA_5 > SMA_20 > SMA_200) indicates an uptrend, but today’s -1.33% pullback is occurring right under resistance. Momentum: RSI(6)=66.0 (upper-neutral, close to overbought) suggests limited immediate upside before a pause; MACD histogram is positive (0.221) but “positively contracting,” implying upside momentum is fading rather than accelerating. Levels: Pivot 27.483; Resistance R1 28.468 (price 28.44 is essentially at this ceiling), then R2 29.077. Supports: 27.483, then S1 26.497. Short-term expectation (pattern stats): ~70% chance of small declines (-0.98% next day, -1.11% next week), reinforcing that entry here is not optimal.
Intellectia Proprietary Trading Signals
Analyst commentary highlights structural tailwinds for energy infrastructure (power demand/LNG export-related opportunities) which can support longer-term estimates.
Dividend/yield appeal is repeatedly noted by coverage, which can provide downside support on pullbacks.
Net income and EPS grew strongly YoY in 2025/Q3, showing earnings resilience despite weaker revenue.
while momentum is cooling (MACD contracting) and short-term pattern stats point modestly lower.
Latest quarter: 2025/Q3. Revenue fell to $461M (-13.62% YoY) and gross margin dropped to 32.32 (-14.13% YoY), showing weaker top-line/margin trends. However, net income rose to $93M (+54.72% YoY) and EPS increased to $0.45 (+55.17% YoY), implying improved bottom-line performance (cost control/other income/tighter expense base) despite revenue pressure.
Recent Street stance is mostly neutral-to-market-perform with modest target raises, plus one bullish outlier. Scotiabank (2026-01-16) raised PT to $30 (Sector Perform). UBS initiated Neutral (C$39). Barclays initiated Equal Weight ($27). BMO raised to C$40 (Market Perform). RBC is positive with Outperform and PT raised to C$41. Wall St pros: attractive yield/defensive infrastructure exposure; potential long-term demand tailwinds. Wall St cons: limited growth potential, single-asset EBITDA concentration, execution risk, and elevated leverage—consistent with the predominance of neutral ratings.
