Bears are Losing Control Over Arcutis Biotherapeutics (ARQT), Here's Why It's a 'Buy' Now

Technical Analysis - A hammer chart pattern has formed in Arcutis Biotherapeutics' last trading session, indicating a potential trend reversal as bulls counteract bears to find support [1] - The hammer pattern is a technical indication of nearing a bottom with likely subsiding of selling pressure, signaling that bears might have lost control over the price [1][2] - Hammer candles can occur on any timeframe and are utilized by both short-term and long-term investors, but should be used in conjunction with other bullish indicators [2] Fundamental Analysis - Wall Street analysts have shown strong agreement in raising earnings estimates for Arcutis Biotherapeutics, enhancing its prospects of a trend reversal [1] - The consensus EPS estimate for the current year has increased 14.5% over the last 30 days, indicating that analysts expect better earnings than previously predicted [3] - Arcutis Biotherapeutics currently has a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 stocks ranked based on earnings estimate revisions and EPS surprises [3] Market Performance - Arcutis Biotherapeutics' stock has lost 13% over the past week, but the formation of a hammer chart pattern suggests a potential trend reversal [1] - Stocks with a Zacks Rank 1 or 2, such as Arcutis Biotherapeutics, usually outperform the market, further supporting the likelihood of a trend reversal [3]