Unisys Corporation (NYSE: UIS) shares fell in early trading today on lower 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 Loop Capital initiated coverage on Unisys Corporation (NYSE: UIS) stock, starting the company at Hold. Loop Capital currently has a rating of Hold on the shares. As a means of comparison, a number of other analysts have commented on the company in recent days, and the company has secured a consensus one-year price target of $16.67, above the opening price of $14.20, a difference of 11.66 percent. Unisys Corporation stock has a 52-week high of $16.70. Changes in price targets are not uncommon as analysts and brokerage firms will re periodic updates after initiating coverage,.
Yesterday Unisys Corporation (NYSE: UIS) shares last traded at $14.30, which is a drop of $0.10 compared to the previous closing price. Opening at $14.20, they ranged from $14.12 and $14.40 throughout the day.
Unisys Corporation (NYSE: UIS) now has a market cap of 716.19M.
Unisys Corporation (NYSE: UIS) Average Daily Trading Volume
34,274 shares traded hands yesterday, 80 percent below the norm, out of a total float 49,761,000. 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.
While increased trading for one day will not mean much, conversely, a trend of heavy trading volume on the buy side over a period of days or weeks sends a positive signal to market traders that institutions may be moving in, so institutional sponsorship is very important.
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 that investigate thousands of stocks, so it is good corroboration to see them taking a postion in a stock you’re researching.
Unisys Corporation (NYSE: UIS) 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 Unisys Corporation (NYSE: UIS) have ranged from $6.72 – 16.70, and the stock now has a 50-day MA of $15.16 and 200-day MA of $10.98. Today’s last price is 14.37%% under the 52 week high of $16.70.
Indeed, earnings growth is among the most critical things to look at in regards to stock investing and, accordingly, investors seek companies that have been successful at growing their earnings at least 25% or more for a 3 year period.
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