Safety Insurance Group, Inc. stock trades under the ticker SAFT & has shown recent bullishness that traders & investors should take a closer look into.
SAFT stock closed at $91.58/share on 8/9/2022.
Safety Insurance Group, Inc. SAFT Stock’s Technical Performance Broken Down
SAFT Stock Price: $91.58
10 Day Moving Average: $87.47
50 Day Moving Average: $92.18
200 Day Moving Average: $85.34
MACD: -1.341
RSI: 54.37
Yesterday, SAFT stock completed a bullish MACD crossover, notching its third consecutive day of gains.
Recent trading volumes have been about average compared to the year prior, and their RSI is neutral, signaling that there may be more bullish momentum to come in the near-term.
They have support at the $88.87 & $87.41/share price levels, as they try to break above the $92.29 & $94.48 resistance levels.
Safety Insurance Group, Inc. SAFT Stock As A Long-Term Investment
Long-term oriented investors will like SAFT stock’s valuation metrics, with a 17.32 P/E (ttm) & a 1.54 P/B (mrq).
They recently reported -17.6% Quarterly Revenue Growth Y-o-Y, with -79% Quarterly Earnings Growth Y-o-Y, which should alarm investors.
Their balance sheet looks decent, with $39M of Total Cash (mrq) & $55.35M of Total Debt (mrq).
SAFT stock pays a 4.03% dividend yield, which may not be sustainable in the long-run, as their payout ratio is 73%.
Still, 87% of SAFT stock’s outstanding share float is owned by institutional investors.
Safety Insurance Group, Inc. SAFT Stock As A Short-Term Trade Using Options
Traders focused on the near-term can trade options to profit from SAFT stock’s price movements, while hedging against market volatility.
I am looking at the contracts with the 8/19 expiration date.
The $90, $85 & $80 call options are all in-the-money, with the former being more liquid than the latter two strike prices.
The $95 & $105 puts are also in-the-money, listed in order of highest to lowest open interest levels.
Tying It All Together
SAFT stock has many interesting attributes that can benefit your portfolio.
Investors will like their valuation metrics & balance sheet, but may want to look into their recent growth troubles & the long-term sustainability of their dividend yield.
Traders will like their current technical set up, but may be disappointed by how illiquid their options are.
Overall, it is worth taking a closer look at SAFT stock to see how it fits into your portfolio strategy.
*** I DO NOT OWN SHARES OF SAFT STOCK AT THE TIME OF PUBLISHING THIS ARTICLE ***