Stock to Sell #2 – Camden Property Trust (CPT)
Real estate investment trust (REIT) Camden Property Trust (NYSE:CPT) acts as manager, owner and builder of multi-family apartment communities. Operating expenses, occupancy rental rate pressures, and increased real estate taxes have caused analysts to recently downgrade their opinion of CPT.
Technically, the stock is at the top of a volatile consolidation pattern with support at $63 and resistance at $72. On Feb. 1, the stock executed a daily reversal, a sell signal was triggered by our internal proprietary indicator, the Collins-Bollinger Reversal (CBR), and the stock broke down through a steep angle of advance. Although some support exists at its 200-day moving average at $67, the chances of a more extended decline to $63-$64 are high.