New Analysis: Flex Pharma, Inc. ($FLKS) vs GW Pharmaceuticals Plc ($GWPH)

2019-08-16 | Welcome! Today we compared how two different stocks in the Major Pharmaceuticals industry are trading: Flex Pharma, Inc. and GW Pharmaceuticals Plc. While these two companies may have very different market capitalizations and balance sheets, they are worth comparing given how they are in the same sector. Below you’ll see how the different technical indicators differ between these two stocks, and we’ll also show what Trading View thinks of them based on the technical analysis. But before we get ahead of ourselves, please note that this is technical analysis only (ie. analyzing how these companies are trading, not digging into the company fundamentals), and therefore you should not rely only on this to guide you on whether you should buy or sell anything – take it with a grain of salt only, and pay attention to the disclaimer below. With that said, many traders find value in technical analysis and others even swear by it, so if that is you, I hope my analysis will be of use to you. Let’s get to it…

First things first: during its last day of trading, Flex Pharma, Inc. opened at 133.35, got to a maximum price of 134.34 and dropped to as low as 133.35 before finishing the session at 134.32. In total there were 40309 shares traded, which is enough to conduct our analysis. Compare that now to GW Pharmaceuticals Plc, which opened at 155.78, had a high of 156.77, a low of 151.14, closed at 152.92 and had a total volume of 286700.

VOLUME ANALYSIS: Generally, the higher the volume indicators are, the better – you need liquidity to trade, after all. All of the volume indicators are as follows… (click here for an explanation on volume)

Volume Indicator Flex Pharma, Inc. GW Pharmaceuticals Plc
Accumulation-distribution index 267.67 6812.70269
on-balance volume -133.35 155.12
chaikin money flow

1.0 10.37374
force index

14592.858 43.401
ease of movement rating

0.00453 -0.00311
volume-price trend

5372.86892 -14.73705
negative volume index

1000.0 1000.0

VOLATILITY ANALYSIS: Now to compare the volatility between these two companies… (click here for an explanation on volatility)

Volatility Indicator Flex Pharma, Inc. GW Pharmaceuticals Plc
Average true range 1.29506 4.07613
Bolinger bands 133.99909 156.1361
Upper bollinger band 131.99091 148.7539
Lower bollinger band

133.35 151.14
Bollinger high band indicator

1.0 1.0
Bollinger high low indicator

1.0 1.0
Central keltner channel

133.68 154.56333
High band keltner channel

132.69 153.57333
Low band keltner channel

134.67 155.55333
High band keltner channel indicator

1.0 1.0
Low band keltner channel indicator

1.0 1.0
Donchain channel high band

133.35 151.14
Donchain channel low band

133.35 151.14
Donchain channel high band indicator

1.0 1.0
Donchain channel low band indicator

1.0 1.0

TREND ANALYSIS: Now for the most interesting and detailed part, the trend. Where is the stock actually going? Let’s compare the indicators… (click here for an explanation on trend)

Trend Indicator Flex Pharma, Inc. GW Pharmaceuticals Plc
Moving Average Convergence Divergence (MACD) trend_macd 0.05856
MACD signal -0.00885 0.03253
MACD difference -0.00708 0.02603
fast Exponential Moving Average (EMA) indicator

133.35 151.14
slow Exponential Moving Average (EMA) indicator

133.35 151.14
Average Directional Movement Index (ADX)

unknown unknown
ADX positive

20.0 20.0
ADX negative

20.0 20.0
positive Vortex Indicator (VI)

1.0 1.0
negative VI

1.0 1.0
trend vortex difference

0.05275 0.28046

589.7544 -8.56112
Mass Index (MI)

1.0 1.0
Commodity Channel Index (CCI)

-66.66667 66.66667
Detrended Price Oscillator (DPO)

-130.06599 16.14481
KST Oscillator (KST)

39605.84468 -96.5109
KST Oscillator (KST Signal)

39605.84468 -96.5109
KST difference

-54.04977 3.90053
Ichimoku rating

133.845 156.275
Ichimoku B rating

133.845 156.275
Ichimoku visual trend A

14.38528 171.7271
Ichimoku visual trend B

37.30236 169.72218
Aroon Indicator (AI)

4.0 4.0
AI indicator down

4.0 4.0
AI difference

-4.0 4.0

MOMENTUM ANALYSIS: What about momentum? Let’s dive into it… (click here for an explanation on momentum)

Momentum Indicator Flex Pharma, Inc. GW Pharmaceuticals Plc
Relative Strength Index (RSI) 50.0 50.0
Money Flow Index (MFI) 100.0 50.6955
True Strength Index (TSI) 100.0 -100.0
ultimate oscillator

100.0 -53.54354
stochastic oscillator

100.0 568.68687
stochastic oscillator signal

100.0 568.68687
Williams %R rating

-50.0 468.68687
awesome oscillator

-16.96308 1.53893

RETURNS: That’s all for technical analysis. Now let’s just list the returns for Flex Pharma, Inc. and GW Pharmaceuticals Plc.

Daily return 3960.58447 -9.65109
Daily log return -0.53386 1.71213
Cumulative return -0.53243 1.72688

So there you have it: our deep, grueling analysis comparing Flex Pharma, Inc. and GW Pharmaceuticals Plc together. But what does all of the above mean? Various technical indicators above are positive, while others are negative, and if we want to decide overall if the technical analysis indicates a bullish or bearish chart, we have to consider all of them together. That’s what the Trading View widget below can do, so let’s see what it says considering all these indicators. First, here’s Flex Pharma, Inc.:

The verdict above will consider all these technical indicators and consider which are strong and weak, and then put them all together to come up with a conclusion stating whether FLKS is strong or weak. Again – this is not a reliable indication of whether Flex Pharma, Inc. is a good investment! None of these indicators consider the company fundamentals. All of this data is based on how it trades only. Now with that out of the way, let’s compare it with GW Pharmaceuticals Plc

So there you have it. We hope you have found this analysis useful, and if you see any errors or have any feedback, please comment below.

How can you profit off trading these 2 companies and other stocks like it? First, check out the Beat The Market Analyzer software – this is worth its weight in gold. Some other great services for earning income from trading and investing are Dividend Stocks (an outstanding resource for anyone interested in high dividend paying stocks), Microcap Millionaires (the best site online for profiting off micro-cap stocks) and Trading Code (an extremely powerful system for profiting off trading).

DISCLAIMER: We are not registered investment advisers and the above analysis should be taken at face value only. We strongly advise against buying or selling anything based solely on our analysis above, and are not responsible for any losses that you may incur if you choose make any investment decisions based on the above.

Abigale Lormen

Abigale is a Masters in Business Administration by education. After completing her post-graduation, Abigale jumped the journalism bandwagon as a freelance journalist. Soon after that she landed a job of reporter and has been climbing the news industry ladder ever since to reach the post of editor at amarketreportsjournal.
Abigale Lormen

Leave a Reply

Your email address will not be published. Required fields are marked *