Barracuda Networks, Inc. (NYSE: CUDA) shares rose in early trading today on heavier trade volume than normal after a number of analysts weighed in on the investing value of the stock and reiterated thier respective ratings.
U.S. stocks flipped between small losses and gains early Tuesday morning as investors maintained a cautious stance following a sharp postelection rally.
The S&P 500 index SPX, -0.04% was off by about 1 point, or less than 0.1%, at 2,267, with seven of the 11 main sectors trading lower. The Dow Jones Industrial Average DJIA, -0.13% was off 33 points, or 0.2%, to 19,853.
Meanwhile, the Nasdaq Composite Index COMP, +0.05% traded in record territory, after closing at an all-time high for the second session in a row on Monday.
Barracuda Networks, Inc. (NYSE: CUDA) had its Buy rating reiterated by equities researchers at BTIG Research in a research note to investors. The company currently has a rating of Buy on the shares. A number of other analysts have spoken on the company recently, and the company has earned a consensus one-year price target of $26.87, higher than the opening price of $25.50, a difference of 11.07 percent. Barracuda Networks, Inc. stock has a 52-week high of $26.69. Share prices sometimes get a jump to the upside when analysts reiterate coverage.
Shares of Barracuda Networks, Inc. (NYSE: CUDA) opened at $25.50 yesterday trading between $23.80 and $25.67, and last traded at $24.28, which is a jump of $0.51 from the previous closing price.
Barracuda Networks, Inc. (NYSE: CUDA) now has a market cap of 1.27B.
Barracuda Networks, Inc. (NYSE: CUDA) Average Daily Trading Volume
1,211,674 shares crossed the trading desk yesterday, 112 percent higher than normal, out of a total float 31,711,000. higher than normal. Significant increases in trading volume and price appreciation together could signal heavy volume accumulation 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 commonly refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Professional investors such as these retain substantial teams of analysts that investigate thousands of stocks, so it is good confirmation to see them taking a postion in a stock you’re researching.
Barracuda Networks, Inc. (NYSE: CUDA) 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 Barracuda Networks, Inc. (NYSE: CUDA) have ranged from $9.44 – 26.69, and the stock now has a 50-day MA of $22.65 and 200-day MA of $22.37. Today’s last price is 9.03%% under the 52 week high of $26.69.
Indeed, earnings growth is among the most critical things to look at in regards to stock investing and, accordingly, investors identify companies that have raised their earnings at least 25% or more for a 3 year period.
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