LifePoint Hospitals could regain its upward trend after having run out of steam.

After few months of downward revisions in earnings per share estimates, the latter finally stabilized and are now slightly increasing. Furthermore, the company is under-valued with an EV/Sales ratio of 1.04x compared to 1.66x for the sector.

Technically, the uptrend in the medium and long term should protect the stock of a major downtrend. In the short term, a decline led the share to the USD 47.3 support, corresponding to the 100-day moving average. Therefore, a technical rebound will fix an objective near the USD 50.5 short-term resistance.

Investor should watch the security close to USD 47.3 to take advantage of a new upward acceleration in the direction of USD 50.5, then USD 53. A stop loss is placed under USD 47.3.