Eastman Chemical Company (NYSE: EMN) shares rose on Wednesday Jan 4 with lower trade volume than normal after a number of analysts weighed in on the investing value of the stock and reiterated thier respective ratings.
Meanwhile, U.S. stocks opened higher on Wednesday as banking stocks led the Dow Jones Industrial Average closer to the 20,000 milestone.
The Dow DJIA, +0.18% gained 25 points, or 0.1%, to 19,906. The S&P 500 SPX, +0.36% climbed four points, or 0.2%, to 2,262. The Nasdaq Composite Index COMP, +0.50% added 13 points, or 0.3%, to 5,447.
Eastman Chemical Company (NYSE: EMN) had its Hold rating reiterated by equities researchers at RBC Capital Markets in a research note to investors. The company currently has a rating of Hold on the shares. The one-year price target of $81.94 is higher than the opening price of $76.27, that has caused a fair amount of other analysts to comment on the company in recent days. Looking back over the last year, Eastman Chemical Company stock has a high of $78.79. Usually, after analysts give a “reiterated rating” report on a stock, they will later issue other revisions, usually followed by a price target change.
Shares of Eastman Chemical Company (NYSE: EMN) opened at $76.27 on Tuesday and has traded in a range between, $76.18 and $76.60, and last traded at $76.55, which is an increase of $0.63 or 0.01 compared to the previous closing price.
Eastman Chemical Company (NYSE: EMN) currently has a market cap of 11.23B.
Eastman Chemical Company (NYSE: EMN) Average Daily Trading Volume
69,127 shares traded hands yesterday, lower than the norm, out of a total float 146,002,000. lower than normal. Look for trading volume to pick up in the coming days as momentum traders often use increases in trading volume to identify heavy volume accumulation or distribution by institutional investors.
While increased trading for short periods will not mean much will not mean much, however, a trend of heavy trading volume on the buy side over a period of days or weeks sends a positive signal to market traders that institutions may be moving in, so institutional sponsorship is very important.
Institutional sponsorship just refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Institutional investors such as these retain substantial teams of analysts researching thousands of stocks. So watching their interests is a good way to ensure you are buying the right stocks.
Eastman Chemical Company (NYSE: EMN) 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 investors to make those trends work in their favor and increase the number of successful trades.
Trades for Eastman Chemical Company (NYSE: EMN) have ranged from $56.03 – 78.7900, and the stock now has a 50-day MA of $75.70 and 200-day MA of $69.67. Today’s last price is 0.03% lower than the 52 week high of $78.79.
Earnings growth is an important factor to consider when investing in stocks and investors watch for companies that have grown their earnings by at least 25% over 3 consecutive years.
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