Energen Corporation (NYSE: EGN) 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.
Energen Corporation (NYSE: EGN) had its Hold rating reiterated by equities researchers at RBC Capital Markets in a research note to investors. With a rating of Hold on the shares, Energen Corporation has a 52-week high of $64.44. The one-year price target of $67.31 is higher than the opening price of $58.37, resulting a fair amount of other analysts to issue statements on the company in recent days. Share prices sometimes get a bounce to the upside when analysts reiterate coverage.
Energen Corporation (NYSE: EGN) shares last traded at $58.42, which represents a jump of $0.03 or 0.00 over the previous closing price. Opening at $58.37, they varied from $57.56 and $58.78 throughout the day.
Energen Corporation (NYSE: EGN) now has a market cap of 5.67B.
Energen Corporation (NYSE: EGN) Average Daily Trading Volume
73,674 shares traded hands yesterday, lower than the average, out of a total float 96,551,000. lower than normal. Look for trading volume to pick up in the coming days as momentum traders often use upticks in trading volume to identify heavy volume accumulation or distribution by institutional investors.
However, a single day of heavy buy side trading is not enough to assert a trend. As such, market traders will continue to watch for institutional sponsorship as a signal that financial institutions are moving forward.
Institutional sponsorship commonly 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 confirmation to see them buying a stock you are considering.
Energen Corporation (NYSE: EGN) 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 tracking the activity of these professional investors—and the moving averages they affect—it allows for traders to make more effective decisions on trades.
Trades for Energen Corporation (NYSE: EGN) have ranged from $20.76 – 64.44, and the stock now has a 50-day MA of $58.79 and 200-day MA of $54.14. Today’s last price is 0.09% below the 52 week high of $64.44.
Earnings growth is an important factor to look at when buying stocks and investors identify companies that have raised their earnings at least 25% or more over the past 3 years.
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