If you are looking for a large cap stock to short, Goldman Sachs might just be a good one to look at.
Fundamental
The fundamentals for Goldman is showing signs of concern -
1) Revenue has been falling for the past 3 years;
2) Net income has been hovering without growth for the past 5 years;
3) Operating and free cash flow has been falling for the past 2 years;
4) ROA is hovering below 1.00 (industry average is currently 2.85%); and
5) ROE is hovering below 10.
Technical
Price has completed a 5-wave structure since June 2016, and we are currently seeing a potential development of an ABC structure towards 185.1 - 182.8 region.
Combining the fundamental and technical development, I will have my bias on shorting GS in the short term.
Fundamental
The fundamentals for Goldman is showing signs of concern -
1) Revenue has been falling for the past 3 years;
2) Net income has been hovering without growth for the past 5 years;
3) Operating and free cash flow has been falling for the past 2 years;
4) ROA is hovering below 1.00 (industry average is currently 2.85%); and
5) ROE is hovering below 10.
Technical
Price has completed a 5-wave structure since June 2016, and we are currently seeing a potential development of an ABC structure towards 185.1 - 182.8 region.
Combining the fundamental and technical development, I will have my bias on shorting GS in the short term.