AMERIPRISE FINANCIAL SERVICES, INC. (NYSE: AMP) shares rose in value in early trading today on lighter 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 edged lower Monday, with major indexes retreating from record levels.
The Dow Jones Industrial Average DJIA, -0.31% fell 48 points, or 0.2%, to 19,916, while the S&P 500 index SPX, -0.29% lost 5 points to 2,272, a drop of 0.2%. The Nasdaq Composite Index COMP, -0.03% rose 4 points to 5,529, a gain of about 0.1%.
Analysts at Credit Suisse Group upgraded shares of AMERIPRISE FINANCIAL SERVICES, INC. (NYSE: AMP) from Neutral to Outperform today. With a rating of Outperform on the stock, the company has a 52-week high of $119.32. As a means of comparison, a number of other analysts have issued reports on the company recently, and the company has secured a consensus one-year price target of $128.38, higher than the opening price of $116.13. Stock prices often trend to the upside on recommendations and new price targets of professional brokerage firms.
Shares of AMERIPRISE FINANCIAL SERVICES, INC. (NYSE: AMP) opened at $116.13 yesterday and traded in a range between, $115.16 and $116.56, and last traded at $115.99, which represents a spike of $0.33 compared to the previous closing price.
AMERIPRISE FINANCIAL SERVICES, INC. (NYSE: AMP) now has a market cap of 18.33B.
AMERIPRISE FINANCIAL SERVICES, INC. (NYSE: AMP) Average Daily Trading Volume
The stock’s average daily volume is 1,221,320 shares out of a total float 157,483,000 and some 148,473 shares traded hands yesterday, 12 percent below the norm. 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.
As with all potential breakouts, investors look 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 is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Professional investors such as these retain teams of analysts that investigate thousands of stocks, so it is good validation to see them taking a postion in a stock you’re considering.
AMERIPRISE FINANCIAL SERVICES, INC. (NYSE: AMP) 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 spotting trends, moving averages allow traders to make those trends work in their favor and increase the number of winning trades.
Trades for AMERIPRISE FINANCIAL SERVICES, INC. (NYSE: AMP) have ranged from $76.00 – 119.32, and the stock now has a 50-day MA of $113.69 and 200-day MA of $101.09. Today’s last price is 2.79%% lower than the 52 week high of $119.32.
Earnings growth is an important factor to consider when investing in stocks and investors watch for companies that have increased their earnings at least 25% or more for 3 consecutive years.
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