Micron Technology, Inc. (NASDAQ: MU) shares rose in value in early trading today on 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 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 Vetr Inc. upgraded shares of Micron Technology, Inc. (NASDAQ: MU) from Buy to Strong-Buy today. The company currently has a rating of Strong-Buy on the shares. The one-year price target of $26.58 is above the opening price of $21.94, causing a fair amount of other analysts to report on the stock in recent days. Looking back over the last 52 weeks, Micron Technology, Inc. stock has a high of $23.64. Stock prices often move to the upside on recommendations and new price targets of professional analysts.
Shares of Micron Technology, Inc. (NASDAQ: MU) opened at $21.94 yesterday trading between $21.94 and $22.45, and last traded at $22.35, which represents a spike of $0.31 compared to the previous closing price.
Micron Technology, Inc. (NASDAQ: MU) now has a market cap of 23.25B.
Micron Technology, Inc. (NASDAQ: MU) Average Daily Trading Volume
The stock’s average daily volume is 25,727,600 shares out of a total float 981,156,000 and some 4,364,832 shares traded hands yesterday, 54 percent lower than normal. lower than normal. Look for trading volume to pick up in the coming days as momentum traders often use swings 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 just refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These instituitional investors 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.
Micron Technology, Inc. (NASDAQ: MU) 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 Micron Technology, Inc. (NASDAQ: MU) have ranged from $9.31 – 23.6400, and the stock now has a 50-day MA of $20.67 and 200-day MA of $16.93. Today’s last price is 5.45%% under the 52 week high of $23.64.
Indeed, earnings growth is among the most important things to look at in regards to stock investing and, accordingly, investors identify companies that have raised their earnings by at least 25% over a 3 year period.
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