Bull Shoots up After the Earnings Release

Based in Virginia, Graham Holdings Co. (NYSE: GHC) offers education and media services. The firm has organized its operations into several segments, including education, television broadcasting, manufacturing, healthcare, social, and other businesses.

Highlights of the 3rd Quarter 2023

Lately, Graham Holdings Company (NYSE: GHC) has delivered its profit report for the 3rd quarter of the financial year 2023. The organization’s income for this quarter was $1,111.5 Million, which is an increment of 10% from the same quarter of 2022.

The increment was essentially due to its higher income in training, medical services, and auto areas. However, some offset of this revenue came from a decrease in TV broadcasting, production, and different organizations. GHC detailed an EBIT loss of $57.1 Million for the second quarter of 2023.

Cash is Flowing For GHC Stock

However, the Graham Holdings Company reported an adjusted operating cash flow income (non-GAAP) of $83.7 Million for the same period. This cash was a consequence of a ton of non-cash derivations the firm had made in its P&L statements.

Lastly, a net non-operating increase of $0.6 Million was reported from the write-up of a cost method investment. Finally, the profit for the common shareholders was $48.9 Million which accounted for $10.45 per share in this period.

Technical Analysis and Prediction of the GHC Stock Price

The GHC stock price started falling in March 2023 when the bears took control, breaking a significant support level of $597. Although the bulls did take the support from the level of $565, the rebound was not strong enough to break the immediate resistance level of the previously broken support. The GHC stock price went into a consolidation zone till the recent surge of 2 November. This time, the stock finally broke past the immediate resistance level of $629.

What is the Current Outlook for GHC Stock?

At press time, the GHC stock price is trading at $619, and it may have confirmed the breaking of a consolidation trend after making a lower high below it. Despite this, the bulls are not giving up yet, as the bullish volume remains significant.

The immediate resistance level from this point is $629, while the 50-day EMA and the 150-day EMA are at $585 and $586, respectively, on the verge of making a bullish crossover.

The prediction for GHC stock price is bullish, but some rejections are also expected, and the stock may touch its immediate support. However, the bulls are likely to take control once the trend-breaking is confirmed. In case the GHC stock price breaks the immediate support, it will move to its next support level of $565.

Conclusion

Graham Holdings Co. (NYSE: GHC) offers education and media services. The company reported an increase of about 10% from the last quarters. The company has maintained an operating adjusted cash flow this quarter. The GHC stock price has broken a trend and it is predicted that some bullish action can be seen.

Technical Levels

Support Levels: $597 and $565
Resistance Levels: $629 and $622

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading in stocks or related indexes comes with a risk of financial loss.

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing