Oil and gas concern EQT (EQT) has had a volatile run on the charts during the past several months, with two recent attempts to recapture its Jan. 12, roughly four-year high of $24.83 rejected at the $24 level. The equity, which boasts a 25.4% rise in the last 12 months, was last seen trading at $21.90. However, EQT is currently flashing a historically bullish signal that has preceded major rallies in the past, which could push it back toward its former multi-year highs.
Digging deeper, EQT stock just pulled back to its 100-day moving average. According to data from Schaeffer’s Senior Quantitative Analyst Rocky White, similar moves have occurred six times over the past three years, with the equity enjoying a positive one-month return 83% of the time, while averaging a substantial 11.1% pop. From its current perch, a comparable move would put EQT at $24.33 mark.
Options traders are already bullish toward the security. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), EQT sports a 50-day call/put volume ratio of 5.60, which stands higher than 79% of readings from the past 12 months. This indicates that calls have been picked up at a much quicker-than-usual clip.
Analysts are similarly optimistic toward EQT. In fact, 12 of the 13 in coverage sport a “strong buy” rating. What’s more, the stock’s 12-month consensus price target of $31.59 is a whopping 41.9% premium to its current level of trading.