Expedia, Inc. (NASDAQ: EXPE) shares closed lower in early trading today on lower trade volume than normal after more analysts initiated coverage on the stock.
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 Credit Suisse Group initiated coverage on Expedia, Inc. (NASDAQ: EXPE) stock, rating the company at Outperform. The company currently has a rating of Outperform on the stock. The one-year price target of $141.07 is above the opening price of $118.17, resulting a number of other analysts to issue statements on the stock recently. Looking back over the last year, Expedia, Inc. stock has a high of $133.55. After beginning or initiating coverage, analysts and brokerage firms will subsequently issue periodic updates. Changes in price targets are not uncommon.
Yesterday Expedia, Inc. (NASDAQ: EXPE) shares last traded at $117.04, a dip of $0.58 compared to the previous closing price. Opening at $118.17, they fluctuated from $116.81 and $118.20 throughout the day.
Expedia, Inc. (NASDAQ: EXPE) currently has a market cap of 17.56B.
Expedia, Inc. (NASDAQ: EXPE) Average Daily Trading Volume
253,226 shares traded hands yesterday, 92 percent below the average, out of a total float 120,097,000. 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.
Expedia, Inc. (NASDAQ: EXPE) 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.
With that in mind, Expedia, Inc. (NASDAQ: EXPE) now has a 50-day MA of $119.63 and 200-day MA of $116.66. It has traded in a 52-week range between $88.40 – 133.55 and today’s last price is 12.36%% lower than the 52 week high of $133.55.
Earnings growth is an important factor to consider when buying stocks and investors identify companies that have increased their earnings at least 25% or more over the past 3 years.
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