Vodafone Group PLC (NASDAQ: VOD) 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.
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 Goldman Sachs Group, Inc. (The) upgraded shares of Vodafone Group PLC (NASDAQ: VOD) from Neutral to Buy today. With a rating of Buy on the shares, Vodafone Group PLC has a 52-week high of $34.70. The one-year price target of $38.10 is higher than the opening price of $26.14, resulting a fair amount of other analysts to issue statements on the company in recent days. Stock prices sometimes get a spike to the upside when analysts upgrade a stock.
Yesterday Vodafone Group PLC (NASDAQ: VOD) shares last traded at $26.06, a jump of $0.48 compared to the previous closing price. Opening at $26.14, they fluctuated from $26.01 and $26.17 throughout the day.
Vodafone Group PLC (NASDAQ: VOD) now has a market cap of 69,366.38B.
Vodafone Group PLC (NASDAQ: VOD) Average Daily Trading Volume
The stock’s average daily volume is 6,199,220 shares out of a total float 2,612,327,000 and some 1,346,721 shares crossed the trading desk yesterday, 117 percent below the average. lower than normal. Look for trading volume to pick up in the coming days as swing traders often use upticks in trading volume to identify heavy volume accumulation or distribution by institutional investors.
While increased trading for short periods will not mean much 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 professional investors retain substantial teams of analysts researching thousands of stocks, so it is good validation to see them taking a postion in a stock you’re considering.
Vodafone Group PLC (NASDAQ: VOD) 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 Vodafone Group PLC (NASDAQ: VOD) have ranged from $24.17 – 34.70, and the stock now has a 50-day MA of $24.95 and 200-day MA of $28.46. Today’s last price is 24.90%% below the 52 week high of $34.70.
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 at least 25% or more for the past 3 years.
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