Del Taco Restaurants, Inc. (NASDAQ: TACO) shares fell in early trading today on lower trade volume than normal after a number of analysts weighed in on the investing value of the stock and reiterated thier respective ratings.
Meanwhile in early trading, the Dow Jones Industrial Average DJIA, +0.31% rose 24 points, or 0.1%, to 19,883, while the S&P 500 index ESH7, +0.13% dipped less than 1 point to 2,268. The Nasdaq Composite COMP, +0.02% which reached its fourth-straight record close on Tuesday, rose 1 point to 5,553.
Analysts at Wedbush reiterated a Positive rating on shares of Del Taco Restaurants, Inc. (NASDAQ: TACO) in a reserach note to investors, making it one of the more closely watched stocks on Wall Street. With a rating of Positive on the shares, Del Taco Restaurants, Inc. has a 52-week high of $15.32. The one-year price target of $17.64 is higher than the opening price of $13.78, that has caused a number of other analysts to comment on the stock in recent days. Usually, after analysts assign a “reiterated rating” report on a stock, they will subsequently issue periodic updates, such as a price target change.
Shares of Del Taco Restaurants, Inc. (NASDAQ: TACO) opened at $13.78 yesterday and traded in a range between, $13.43 and $13.78, and last traded at $13.44, which is a decrease of $0.25 from the previous closing price.
Del Taco Restaurants, Inc. (NASDAQ: TACO) currently has a market cap of 526.22M.
Del Taco Restaurants, Inc. (NASDAQ: TACO) Average Daily Trading Volume
The stock’s average daily volume is 477,205 shares out of a total float 29,914,000 and some 27,737 shares traded hands yesterday, 62 percent below the average. 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.
However, a single day of heavy buy side trading is not enough to assert a trend. As such, market traders will continue to watch for institutional sponsorship as a signal that financial institutions are moving forward.
Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Institutional investors such as these retain substantial teams of analysts researching thousands of stocks, so it is good confirmation to see them taking a postion in a stock you’re considering.
Del Taco Restaurants, Inc. (NASDAQ: TACO) 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 spotting trends, moving averages allow investors to make those trends work in their favor and increase the number of successful trades.
With that in mind, Del Taco Restaurants, Inc. (NASDAQ: TACO) now has a 50-day MA of $14.65 and 200-day MA of $12.12. It has traded in a 52-week range between $8.37 – 15.32 and today’s last price is 12.27%% lower than the 52 week high of $15.32.
Earnings growth is an important factor to research when buying stocks and investors identify companies that have increased their earnings at least 25% or more over a 3 year period.
DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of the website. Readers should not consider statements made by the author as formal recommendations and should consult their financial adviser before making any investment decisions. To read our full disclosure, please see our terms and conditions page.