Granite Construction Incorporated (NYSE: GVA) shares rose in early trading today on lighter trade volume than normal after more analysts initiated coverage on the stock.
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.
Analysts at Canaccord Genuity initiated coverage on Granite Construction Incorporated (NYSE: GVA) stock, starting the company at Buy. With a rating of Buy on the shares, Granite Construction Incorporated has a 52-week high of $62.18. The one-year price target of $64.11 is higher than the opening price of $53.50, resulting a number of other analysts to report on the stock recently. Price changes targets are not unusual as analysts and brokerage firms will publish periodic updates after initiating coverage,.
Shares of Granite Construction Incorporated (NYSE: GVA) opened at $53.50 yesterday and traded in a range between, $53.37 and $54.32, and last traded at $54.08, which represents a jump of $1.09 over the previous closing price.
Granite Construction Incorporated (NYSE: GVA) now has a market cap of 2.14B.
Granite Construction Incorporated (NYSE: GVA) Average Daily Trading Volume
The stock’s average daily volume is 408,435 shares out of a total float 39,120,000 and some 36,854 shares crossed the trading desk yesterday, 77 percent below normal. lower than normal. Look for trading volume to pick up in the coming days as investors 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 is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors have substantial teams of analysts researching thousands of stocks. So watching their interests is a good way to make sure you are buying the right stocks.
Granite Construction Incorporated (NYSE: GVA) 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 Granite Construction Incorporated (NYSE: GVA) have ranged from $35.69 – 62.18, and the stock now has a 50-day MA of $57.96 and 200-day MA of $50.69. Today’s last price is 13.03%% lower than the 52 week high of $62.18.
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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