Jakks Pacific (JAKK) reached a significant support level, and could be a good pick for investors from a technical perspective. Recently, JAKK broke through the 50-day moving average, which suggests a short-term bullish trend.
The 50-day simple moving average is one of three major moving averages used by traders and analysts to determine support or resistance levels for a wide range of securities. But the 50-day is considered to be more important because it's the first marker of an up or down trend.
JAKK has rallied 18.2% over the past four weeks, and the company is a Zacks Rank #2 (Buy) at the moment. This combination suggests JAKK could be on the verge of another move higher.
Once investors consider JAKK's positive earnings estimate revisions, the bullish case only solidifies. No estimate has gone lower in the past two months for the current fiscal year, compared to 1 higher, and the consensus estimate has increased as well.
Investors may want to watch JAKK for more gains in the near future given the company's key technical level and positive earnings estimate revisions.
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JAKKS Pacific, Inc. (JAKK): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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