Riskified (RSKD) Soars 2.07% Ahead of Q1 Earnings

Riskified (RSKD) shares surged 2.07% today, marking the fifth consecutive day of gains, with a total increase of 6.47% over the past five days. The stock price reached its highest level since March 2025, with an intraday gain of 2.27%.

The strategy of buying RSKD shares after they reached a recent high and holding for 1 week yielded moderate returns over the past 5 years, with a maximum drawdown and sharp decline in performance, indicating it was a risky but potentially profitable approach.

Maximum Drawdown: The maximum drawdown of -46.87% occurred on May 25, 2020, which was the lowest point during the backtested period. This indicates that this strategy faced significant losses during the market downturns.

Peak at $6.64: The stock reached its highest price of $6.64 on May 9, 2020, which was the point in time when investors should have bought the stock according to this strategy.

Holding for 1 week: Holding the stock for 1 week resulted in a 0.20% gain on May 14, 2020, which was the next trading day after the purchase. This small gain suggests that this strategy can capture minor short-term movements in the stock price.

However, it's important to note that this strategy is risky and not all periods showed positive returns. The performance was strongly influenced by the broader market conditions, particularly the COVID-19 pandemic, which affected RSKD's stock price significantly. This strategy may be suitable for investors who are comfortable with short-term risks and have a proactive approach to market timing.

The primary factor influencing the recent fluctuations in Riskified's stock price is the impending release of its Q1 2025 earnings report, scheduled for May 14, 2025. Market analysts are anticipating revenue of $79.23 million and earnings per share of $0.01. This earnings report is expected to provide crucial insights into the company's financial performance and future prospects, potentially driving further stock price movements.

Additionally, a buy signal was triggered on April 8, 2025, from a pivot bottom point, indicating a significant rise in the stock price by 18.14%. This technical indicator suggests that the stock may continue to climb until a new top pivot is established, further contributing to the positive momentum observed in recent days.