Wabash National Corporation’s share price was heavily penalized and is now in an oversold situation near a solid support area.

From a fundamental viewpoint, the company seems undervalued relatively to its peers with an EV/Sales ratio of 0.46.
In the recent months, the earnings estimates for the next year have been regularly revised upward by analysts.
With an EPS estimated at USD 1.14 for this year and USD 1.27 for the next one, Wabash National is currently paid at low levels (10.6 and 9.53 times the results).

Technically, the security is in a negative configuration in the short term as the bearish trend of the 20-day moving average shows. Nevertheless, the stock seems in an oversold situation, near to its USD 11.88 support in daily data. This level might stop the bearish trend in the short term and offers an entry point on the stock.

So as to make the most of a potential technical rebound of Wabash National, it seems opportune to open a long position at the current price. A confirmation of this pattern would enable the security to reach the USD 12.98 resistance, with a potential gain of 6%. Investors should not insist under USD 11.88 and are better of placing a stop loss order under this threshold.