Carrols Restaurant Group, Inc. (NASDAQ: TAST) shares slid back in value in early trading today on slower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Meanwhile, U.S. stocks opened significantly lower in early trading. The Dow Jones Industrial Average was 58 points lower, or 0.29% to 19895, the S&P 500 fell 7 points, or 0.28% to 2268, while the Nasdaq dropped 22 points, or 0.38% to 5542.
Analysts at Zacks Investment Research upgraded shares of Carrols Restaurant Group, Inc. (NASDAQ: TAST) from Sell to Buy today. Zacks Investment Research currently has a rating of Buy on the shares. The one-year price target of $16.38 is higher than the opening price of $15.25, resulting a fair amount of other analysts to issue statements on the company recently. Looking back over the last year, Carrols Restaurant Group, Inc. stock has a high of $15.50. Stock prices sometimes get a spike to the upside when analysts upgrade a stock.
Yesterday Carrols Restaurant Group, Inc. (NASDAQ: TAST) shares last traded at $15.00, which is a decrease of $0.30 over the previous closing price. Opening at $15.25, they ranged from $15.00 and $15.25 throughout the day.
Carrols Restaurant Group, Inc. (NASDAQ: TAST) currently has a market cap of 528.82M.
Carrols Restaurant Group, Inc. (NASDAQ: TAST) Average Daily Trading Volume
11,608 shares traded hands yesterday, 46 percent below normal, out of a total float 33,411,000. 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.
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.
Professional investors such as these have substantial teams of analysts that investigate thousands of stocks, so it is good validation to see them buying a stock you are considering.
Carrols Restaurant Group, Inc. (NASDAQ: TAST) 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 identifying trends, moving averages allow traders to make those trends work in their favor and increase the number of winning trades.
With that in mind, Carrols Restaurant Group, Inc. (NASDAQ: TAST) now has a 50-day MA of $14.00 and 200-day MA of $13.02. It has traded in a 52-week range between $9.60 – 15.50 and today’s last price is 3.23%% lower than the 52 week high of $15.50.
Indeed, earnings growth is among the most crucial things to look at in regards to stock investing and, accordingly, investors look for companies that have raised their earnings by at least 25% 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.