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MIDD — Oversold Bullish Reversal
Status: Invalidated
Scanner score: 20.0/100
Why this was flagged
MIDD was identified as a bullish technical setup based on the Oversold Bullish Reversal pattern. The scanner found a score of 20.0/100 using trend alignment, momentum, price action, volume, and risk-management rules. Monitor update: Latest daily-chart analysis no longer reports a bullish long setup.
Trade framework
Position-sizing example
These examples use the distance between the reference entry and stop-loss. They do not account for commissions, slippage, taxes, overnight gaps, or your personal account size.
Exit plan
- Stop-loss: Exit if the stop-loss is reached. Do not move the stop farther away to avoid taking the planned loss.
- Target 1: Consider taking partial profit when Target 1 is reached and reducing risk on the remaining shares.
- Target 2 or trailing exit: Consider closing the remaining position at Target 2, or use a disciplined trailing stop only if the trend remains strong.
- Time exit: Reassess or close a trade that fails to progress within the suggested holding window.
Technical chart
Daily closing price with moving averages and planned trade levels. This chart is a screening aid, not a guarantee of future results.
$1,000 educational outcome examples
These examples use a $1,000 position and fractional shares at the midpoint of the entry zone. Actual results can differ because of market gaps, fills, spreads, commissions, taxes, slippage, and changing conditions.
Easy explanation for new investors
The scanner found Middleby Corp (MIDD) using a pattern called an Oversold Bullish Reversal. This means the price dropped quite a bit, and technical signs suggest it might turn around and go up. The Relative Strength Index, or RSI, is at 17.55. RSI is a tool used to see if a stock has been sold too much. A low RSI number often shows a stock is in "oversold" territory.
What the price plan means
The entry zone is between $133.88 and $135.64. If you enter here, there are two target prices where the stock might stop rising: $148.98 and $156.53. To manage risk, a stop-loss price of $126.33 is set. This is a price point used to exit the trade if the stock continues to fall. The reward-to-risk ratio is 2, which compares the potential gain to the potential loss.
What could make the idea fail
The scanner gave this setup a score of 20 out of 100. This low score means it does not meet all the rules for trend and momentum. Also, the relative volume is only 0.53, meaning there is less trading activity than usual. If the stock keeps falling past the stop-loss price, the setup fails.
Important reminder
This information is for educational purposes only. It is not a recommendation to trade.
Recent news context
This automated review is separate from the technical score. It summarizes recent related articles and does not predict price movement.
Overall context: Caution (High confidence)
Middleby Corp shows mixed signals. The company recently reported strong quarterly results that exceeded EPS and revenue estimates, and provided positive FY 2026 guidance. Institutional ownership is high at 98.55%, and Sei Investments Co. increased its stake by 6.5%. However, GuruFocus reports the stock may be overvalued by approximately 20.6% compared to a GF Value estimate of $110.50, noting a P/E ratio above its 5-year median. Additionally, KeyBanc reduced its price target from $190 to $152 following the Midera Food Processing spin-off, though they maintained an Overweight rating.
Potentially supportive context
- Quarterly results surpassed EPS and revenue consensus estimates
- Provided positive FY 2026 guidance
- High institutional ownership of 98.55%
Risks and caution items
- GF Value estimate suggests the stock is overvalued by 20.6%
- P/E ratio of 20.2x is above its 5-year median
- KeyBanc reduced price target from $190 to $152 following a spin-off
Latest reviewed article: Jul 24, 2026 9:39 am
Recent related articles
Sei Investments Co. significantly increased its stake in The Middleby Corporation by 6.5% during the first quarter, now holding 803,383 shares valued at approximately $106.5 million. Middleby recently reported strong quarterly results, surpassing EPS and revenue consensus estimates, and provided positive FY…
The Middleby Corp (MIDD) shares dropped 3.6% to $133.22, but the stock is still considered overvalued with a GF Value™ estimate of $110.50, representing a 20.6% overvaluation. Despite a GF Score™ of 78/100, indicating above-average quality, its financial strength and valuation ranks…
KeyBanc has reduced its price target for Middleby Corp (NASDAQ:MIDD) to $152 from $190, while maintaining an Overweight rating, following the spin-off of Midera Food Processing. The adjustment reflects Middleby's strategy to become a focused leader in Commercial Food Service Equipment. The…
Wall Street Zen downgraded Middleby (NASDAQ:MIDD) from "buy" to "hold," joining other firms like Jefferies and Robert W. Baird in adjusting their ratings or price targets. Despite the downgrades, Middleby recently reported strong quarterly results, with EPS of $2.16 and revenue up…
This article lists various ETFs that include Middleby Corporation stocks in their holdings. The ETFs are sorted by market value and provide details such as issuer, management style, expense ratio, AUM, and 3-year NAV total return. The information aims to help investors…
Important: Some returned articles may describe competitors, industry conditions, or related companies. Open the source before relying on an article.
Scanner confirmations
- RSI is near oversold territory with bullish candle confirmation.