Breakout Alert 15: $ROCK

On November 16, 2017, $ROCK broke out from its previous 52-week high of 1.87/share accompanied by above-average volume. Its current exit price is 1.96/share. Buy above exit price, sell immediately when it falls below.

Pro(s):

• Trending up since 3rd quarter of 2017.
• There are more above-average bullish volume (green) than above-average bearish volume (red).
• Gross revenue for the 2nd quarter of 2017 went up to ₱3,682,929,000 from
  ₱2,316,966,000 of the same quarter last year, which translates to 59% quarterly growth. Year-to-date gross revenue went up to
  ₱6,754,043,000 from ₱4,330,991,000 of the same period last year, which translates to 56% year-to-date growth.
• Net income (after tax) for the 2nd quarter of 2017 went up to ₱519,649,000 from ₱363,717,000 of the same quarter last year, which translates to 43% quarterly growth. Year-to-date net income (after tax) went up to ₱1,035,573,000 from ₱705,223,000 of the same period last year, which translates to 47% year-to-date growth.
• A very healthy risk of -7% from top (2.10/share) to exit price (1.96/share). I used the classic Fibonacci retracement setup, which starts from a previous low point and ends to a high point. Proper allocation of funds can minimize risk.

Con(s):

• Net profit margin for the 2nd quarter of 2017 went down to 14.11% from 15.70% of the same quarter last year, which translates to -10% quarterly decline. Year-to-date net profit margin went down to 15.33% from 16.28% of the same period last year, which translates to -6% year-to-date decline.
• Third quarterly report not yet posted.

CAVEAT EMPTOR