LKQ Corp. (NASDAQ: LKQ) shares rose in value Thursday December 29 with lower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Meanwhile, U.S. stocks were little changed in early trade Thursday. The S&P 500 SPX, +0.04% rose 0.1% to 2,252, while the Dow DJIA, +0.04% advanced 16 points to 19,850. The Nasdaq Composite COMP, -0.04% was virtually flat at 5,439.
Analysts at Zacks Investment Research upgraded shares of LKQ Corp. (NASDAQ: LKQ) from Sell to Hold today. With a rating of Hold on the stock, the company has a 52-week high of $36.35. The one-year price target of $39.18 is above the opening price of $30.92, resulting a fair amount of other analysts to comment on the stock recently. Typically, after analysts assign an upgrade report on a stock, they will subsequently issue sporadic revisions, usually followed by a price target change.
Shares of LKQ Corp. (NASDAQ: LKQ) opened at $30.92 on Tuesday trading between $30.88 and $31.09, and last traded at $30.96, which is a spike of $0.08 or 0.24% compared to the previous closing price.
LKQ Corp. (NASDAQ: LKQ) currently has a market cap of 9.52B.
LKQ Corp. (NASDAQ: LKQ) Average Daily Trading Volume
51,235 shares traded hands yesterday, lower than the norm, out of a total float 304,420,000. Look for trading volume to pick up in the coming days as swing traders often use increases in trading volume to pinpoint large volume accumulation or dissemination by institutional investors.
As with all potential breakouts, investors watch for volume to be at least 40%-50% higher than normal on the breakout to show that fund managers and other professional investors are jumping in.
Institutional sponsorship just refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors retain substantial teams of analysts that research thousands of stocks, so it is good validation to see them taking a postion in a stock you’re researching.
LKQ Corp. (NASDAQ: LKQ) Moving Averages
A moving average can also act as support or resistance. In an uptrend a 50-day, 100-day or 200-day moving average may act as a support level, as shown in the figure below.
This is because the average acts like a floor (support), so the price bounces up off of it.
In a downtrend a moving average may act as resistance; like a ceiling, the price hits it and then starts to drop again.
By identifying trends, moving averages allow traders to make those trends work in their favor and increase the number of winning trades.
With that in mind, LKQ Corp. (NASDAQ: LKQ) now has a 50-day MA of $32.58 and 200-day MA of $33.53. It has traded in a 52-week range between $23.95 – 36.350 and today’s last price is 14.84%% lower than the 52 week high of $36.35.
Indeed, earnings growth is among the most important things to look at in regards to stock investing and, accordingly, investors seek companies that have been successful at growing their earnings by at least 25% over the past 3 years.
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