During Friday night's "Mad Money" program, host Jim Cramer checked in with Bracken Darrell, president and CEO of Logitech International (LOGI) , the maker of computer speakers, keyboards, cameras and other accessories.
Darrell said the work-from-home trend is here to stay and that while many people scrambled to set up their home offices in 2020, they're now setting them up right with new products from Logitech.
Darrell acknowledged that many people still don't know about all of the products that the company makes, but that Logitech is spending more on marketing this year to help address those concerns.
Logitech is also getting serious about its carbon footprint.
When asked about the semiconductor shortage, Darrell explained that it's used to managing component shortages and so far have been able to work through the supply constraints.
We looked at the charts of LOGI on April 14, when we wrote that "Jim Cramer is recommending taking some profits on LOGI and the daily Point and Figure chart is only showing a $112 price target and now the weekly chart is showing a downside price target."
Let's see how things are going.
In this daily bar chart of LOGI, below, we can see that prices have weakened in the past few sessions and there has been a test of the flat to declining 50-day moving average line. The slope of the 200-day moving average line is still positive and intersects around $91. The On-Balance-Volume (OBV) line shows a double-top in February and April. The Moving Average Convergence Divergence (MACD) oscillator has crossed to the downside for a take-profit, sell signal.
In this weekly Japanese candlestick chart of LOGI, below, we can see a potential lopsided double top formation. Prices show a peak in February with more than a 10% pullback into an early March low and so far a slightly lower second peak. Prices need to break below the $90 low to complete the top pattern. Prices are above the rising 40-week moving average line. The OBV line shows an uptrend the past year but a slight dip now. The MACD oscillator has a February peak but has narrowed recently.
In this daily Point and Figure chart of LOGI, below, we can see that prices met their upside price target in the $112 area. A trade at $105.49 is likely to weaken the picture.
Bottom line strategy: The three charts of LOGI, above, suggest a neutral to bearish path for the stock price for the short to intermediate term.
