MagnaChip Semiconductor Corporation (NYSE: MX) shares rose in value on Friday, January 13 on heavier trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Meanwhile, The Dow Jones Industrial Average DJIA, -0.03% slipped 5.27 points to close 19,885.73, moving in a roughly 100-point range all session. For the week, the blue-chip index is off 0.4%.
U.S. financial markets will be closed Monday for Martin Luther King Jr. Day.
The S&P 500 index SPX, +0.18% added 4.20 points, or 0.2%, to end at 2,274.64 for a weekly loss of 0.1%, and the Nasdaq Composite Index COMP, +0.48% climbed 26.63 points, or 0.5%, to finish at 5,574.12, its sixth all-time closing high in seven trading sessions.
Analysts at Needham & Company LLC upgraded shares of MagnaChip Semiconductor Corporation (NYSE: MX) from Hold to Buy today. Needham & Company LLC currently has a rating of Buy on the shares. The one-year price target of $10.00 is above the opening price of $6.90, that has caused a fair amount of other analysts to comment on the company in recent days. Looking back over the last 52 weeks, MagnaChip Semiconductor Corporation stock has a high of $9.17. Typically, after analysts publish an upgrade report on a stock, they will subsequently issue sporadic revisions, often followed by a price target change.
Shares of MagnaChip Semiconductor Corporation (NYSE: MX) opened at $6.90 yesterday and traded in a range between, $6.85 and $7.55, and last traded at $7.35, a spike of $0.70 over the previous closing price.
MagnaChip Semiconductor Corporation (NYSE: MX) now has a market cap of 257.24M.
MagnaChip Semiconductor Corporation (NYSE: MX) Average Daily Trading Volume
1,410,111 shares traded hands yesterday, 74 percent higher than the norm, out of a total float 20,542,000. higher than normal. Significant increases in trading volume and price appreciation together could signal heavy volume accumulation by institutional investors.
While increased trading for short periods will not mean much 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 substantial 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.
MagnaChip Semiconductor Corporation (NYSE: MX) 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 investors to make those trends work in their favor and increase the number of successful trades.
With that in mind, MagnaChip Semiconductor Corporation (NYSE: MX) now has a 50-day MA of $6.39 and 200-day MA of $6.97. It has traded in a 52-week range between $3.10 – 9.17 and today’s last price is 19.85%% lower than the 52 week high of $9.17.
Earnings growth is a critical factor to look at when buying stocks and investors look for companies that have grown their earnings by at least 25% for 3 consecutive years.
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