Park-Ohio Holdings Corp. (NASDAQ: PKOH) shares rose in value on Friday January 20 on lower 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 rose Friday morning as Wall Street closely awaited Donald Trump’s inauguration as the nation’s 45th president.
The Dow Jones Industrial Average DJIA, +0.41% rose 95 points, or 0.5%, to 19,826, while the S&P 500 index SPX, +0.41% climbed 11 points, or 0.5%, to 2,275 and the Nasdaq Composite COMP, +0.37% added 28 points, or 0.6%, to 5,571.
Analysts at Zacks Investment Research upgraded shares of Park-Ohio Holdings Corp. (NASDAQ: PKOH) from Hold to Strong-Buy today. Zacks Investment Research currently has a rating of Strong-Buy on the stock. As a means of comparison, a number of other analysts have issued reports on the stock in recent days, and the company has secured a consensus one-year price target of $44.33, above the opening price of $42.85. Park-Ohio Holdings Corp. stock has a 52-week high of $44.65. Stock prices often shift to the upside on recommendations and new price targets of professional analysts.
Shares of Park-Ohio Holdings Corp. (NASDAQ: PKOH) opened at $42.85 yesterday trading between $42.75 and $43.50, and last traded at $43.00, an increase of $0.15 compared to the previous closing price.
Park-Ohio Holdings Corp. (NASDAQ: PKOH) now has a market cap of 522.41M.
Park-Ohio Holdings Corp. (NASDAQ: PKOH) Average Daily Trading Volume
The stock’s average daily volume is 30,568 shares out of a total float 8,430,000 and some 3,986 shares crossed the trading desk yesterday, 50 percent lower than the norm. lower than normal. Look for trading volume to pick up in the coming days as momentum traders often use swings 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.
These professional investors have substantial teams of analysts researching thousands of stocks. Thus, watching their interests is a good way to ensure you are buying the right stocks.
Park-Ohio Holdings Corp. (NASDAQ: PKOH) 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 successful trades.
Trades for Park-Ohio Holdings Corp. (NASDAQ: PKOH) have ranged from $23.21 – 44.65, and the stock now has a 50-day MA of $42.54 and 200-day MA of $36.41. Today’s last price is 3.70%% under the 52 week high of $44.65.
Earnings growth is an important factor to research when investing in stocks and investors watch for companies that have increased their earnings at least 25% or more for 3 consecutive years.
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