Expedia, Inc. (NASDAQ: EXPE) 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, 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 Jefferies Group reiterated a Hold rating on shares of Expedia, Inc. (NASDAQ: EXPE) in a reserach note to investors, making it one of the more actively watched stocks on Wall Street. The company currently has a rating of Hold on the shares. The one-year price target of $141.07 is above the opening price of $117.01, that has caused a fair amount of other analysts to comment on the stock in recent days. Looking back over the last 52 weeks, Expedia, Inc. stock has a high of $133.55. Share prices sometimes get a boost to the upside when analysts reiterate coverage.
Yesterday Expedia, Inc. (NASDAQ: EXPE) shares last traded at $116.67, a drop of $0.53 from the previous closing price. Opening at $117.01, they fluctuated from $116.41 and $117.43 throughout the day.
Expedia, Inc. (NASDAQ: EXPE) now has a market cap of 17.50B.
Expedia, Inc. (NASDAQ: EXPE) Average Daily Trading Volume
96,458 shares crossed the trading desk yesterday, 26 percent lower than 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 swing traders often use increases in trading volume to identify heavy volume accumulation or distribution by institutional investors.
While increased trading for one day will not mean much, however, 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 commonly refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These instituitional investors retain teams of analysts that research thousands of stocks. Thus, 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.
Trades for Expedia, Inc. (NASDAQ: EXPE) have ranged from $88.40 – 133.55, and the stock now has a 50-day MA of $119.63 and 200-day MA of $116.66. Today’s last price is 12.64%% under the 52 week high of $133.55.
Earnings growth is a critical factor to research when investing in stocks and investors seek companies that have raised their earnings by at least 25% for a 3 year period.
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