Raytheon Company (NYSE: RTN) shares fell in early trading today on lighter trade volume than normal after more analysts initiated coverage on the stock.
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 RBC Capital Markets initiated coverage on Raytheon Company (NYSE: RTN) stock, rating the company at Outperform. With a rating of Outperform on the shares, the company has a 52-week high of $152.58. The one-year price target of $161.59 is above the opening price of $146.76, causing a fair amount of other analysts to comment on the company in recent days. After beginning or initiating coverage, analysts and brokerage firms will subsequently publish periodic updates. Price changes targets are not uncommon.
Shares of Raytheon Company (NYSE: RTN) opened at $146.76 yesterday trading between $145.40 and $146.97, and last traded at $145.71, a drop of $0.54 from the previous closing price.
Raytheon Company (NYSE: RTN) currently has a market cap of 42.79B.
Raytheon Company (NYSE: RTN) Average Daily Trading Volume
126,122 shares crossed the trading desk yesterday, 47 percent below the norm, out of a total float 293,086,000. 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.
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.
Institutional investors such as these have teams of analysts that investigate thousands of stocks. Thus, watching their interests is a good way to make sure you are buying the right stocks.
Raytheon Company (NYSE: RTN) 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 traders to make those trends work in their favor and increase the number of winning trades.
With that in mind, Raytheon Company (NYSE: RTN) now has a 50-day MA of $145.85 and 200-day MA of $140.74. It has traded in a 52-week range between $115.73 – 152.58 and today’s last price is 4.50%% lower than the 52 week high of $152.58.
Indeed, earnings growth is among the most crucial things to look at in regards to stock investing and, accordingly, investors seek companies that have raised their earnings at least 25% or more for the past 3 years.
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