Amphenol's 15-minute chart has recently triggered both the MACD Death Cross and KDJ Death Cross at 08/20/2025 09:45. This suggests that the stock price has the potential to continue its downward trajectory, with a notable shift in momentum towards the downside. Consequently, there is a heightened possibility of further decreases in the stock price.
Amphenol Corporation's 15-minute chart has recently triggered both the MACD (Moving Average Convergence Divergence) and KDJ (Kaufman Adaptive Moving Average) Death Crosses at 08/20/2025 09:45. This technical signal suggests a potential continuation of the downward trend in the stock price, with a notable shift in momentum towards the downside. Consequently, there is a heightened possibility of further decreases in the stock price.
The MACD and KDJ Death Crosses are significant technical indicators that signal a potential reversal in the stock's trend. The MACD Death Cross occurs when the MACD line crosses below the signal line, indicating a potential downward trend. The KDJ Death Cross, on the other hand, occurs when the KDJ line crosses below the signal line, also suggesting a potential downward trend. Both indicators have triggered these signals on Amphenol's 15-minute chart, providing investors with a clear warning of potential downward pressure on the stock price.
Amphenol's stock has been under pressure despite strong financial results. In Q2 2025, the company reported a significant 57% revenue growth to $5.65 billion and an 84% increase in adjusted EPS to $0.81, driven primarily by AI-related IT datacom demand [1]. However, the stock price fell 1.81% on August 13, 2025, despite a 37.63% surge in trading volume to $1.08 billion. This drop in share price occurred despite the company's strong financial performance, highlighting the potential impact of technical indicators on the stock price.
The AI infrastructure boom, expected to last through 2028, has been a significant driver of growth for Amphenol. However, the timeline for the payoff from this investment remains uncertain, and whether the demand will stabilize or lead to consolidation is also unclear [2]. The AI infrastructure boom has benefited various industries, including construction, energy, and manufacturing. For instance, Caterpillar Inc. reported a 19% increase in power generation sales in the second quarter due to data center demand, while Amphenol Corp. saw its stock price rise by 150% over the past two years [3].
Private-equity firms are actively seeking opportunities in this market, with Apollo Global Management purchasing a majority stake in Stream Data Centers and Blackstone acquiring QTS Realty Trust for $10 billion in 2021 [4]. However, the boom is not without risks, as AI model builders may overshoot on infrastructure and experience a painful consolidation.
In conclusion, while the AI infrastructure boom presents significant opportunities, investors should proceed with caution and closely monitor the developments in this dynamic sector. The recent MACD and KDJ Death Crosses on Amphenol's 15-minute chart suggest a potential continuation of the downward trend in the stock price, providing investors with a clear warning of potential downward pressure.
References:
[1] https://www.ainvest.com/news/amphenol-shares-drop-1-81-daily-volume-surges-37-63-1-08b-ranking-80th-market-activity-2508/
[2] https://www.ainvest.com/news/ai-hyperscalers-spending-boom-bust-2508/
[3] https://www.bloomberg.com/opinion/articles/2025-08-08/ai-building-boom-is-bound-to-bust-for-manufacturers
[4] https://www.bloomberg.com/opinion/articles/2025-08-08/ai-building-boom-is-bound-to-bust-for-manufacturers
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