Nordic American Tankers Limited (NYSE: NAT) shares rose in early trading today on lower trade volume than normal after more analysts initiated coverage on the stock.
Meanwhile, in early trading today the Dow Jones Industrial Average DJIA, +0.19% rose 40 points, or 0.2%, to 19,929 while the S&P 500 SPX, +0.31% added 5 points to 2,275, a rise of 0.2%. The Nasdaq Composite Index COMP, +0.53% climbed 19 points, or 0.3%, to 5,567.
Analysts at Credit Suisse Group initiated coverage on Nordic American Tankers Limited (NYSE: NAT) stock, rating the company at Neutral. With a rating of Neutral on the shares, Nordic American Tankers Limited has a 52-week high of $16.18. The one-year price target of $8.88 is above the opening price of $8.70, causing a number of other analysts to comment on the company recently. Changes in price targets are not unheard of as analysts and brokerage firms will issue periodic updates after initiating coverage,.
Yesterday Nordic American Tankers Limited (NYSE: NAT) shares last traded at $8.75, which is a spike of $0.09 compared to the previous closing price. Opening at $8.70, they fluctuated from $8.67 and $8.75 throughout the day.
Nordic American Tankers Limited (NYSE: NAT) currently has a market cap of 891.73M.
Nordic American Tankers Limited (NYSE: NAT) Average Daily Trading Volume
The stock’s average daily volume is 1,910,720 shares out of a total float 98,598,000 and some 167,296 shares crossed the trading desk yesterday, 16 percent lower than the average. lower than normal. Look for trading volume to pick up in the coming days as investors often use increases in trading volume to identify heavy volume accumulation or distribution by institutional investors.
While increased trading for short periods will not mean much will not mean much, conversely, 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 simply refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors retain teams of analysts that investigate thousands of stocks, so it is good confirmation to see them taking a postion in a stock you’re considering.
Nordic American Tankers Limited (NYSE: NAT) 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 Nordic American Tankers Limited (NYSE: NAT) have ranged from $7.57 – 16.1800, and the stock now has a 50-day MA of $8.77 and 200-day MA of $10.35. Today’s last price is 45.95%% below the 52 week high of $16.18.
Indeed, earnings growth is among the most crucial things to look at in regards to stock investing and, accordingly, investors identify companies that have raised their earnings at least 25% or more over a 3 year period.
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