Flowserve Corp. (NYSE: FLS) shares rose in value on Monday January 23 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 flipped between small gains and losses in early trade on Monday.
The Dow Jones Industrial Average DJIA, -0.14% was off by 13 points, or less than 0.1%, at 19,815, with McDonald’s Corp MCD, -0.99% and General Electric CoGE, -0.95% leading the losses, down more than 1%.
The S&P 500 SPX, -0.18% slipped 2 point to 2,270, with five of the main sectors trading lower. The Nasdaq Composite COMP, -0.09% gained 4 points to 5,558.
Analysts at Seaport Global Securities upgraded shares of Flowserve Corp. (NYSE: FLS) from Neutral to Buy today. The company currently has a rating of Buy on the shares. As a means of comparison, a number of other analysts have commented on the stock in recent days, and Flowserve Corp. has secured a consensus one-year price target of $46.93, a decrease compared to the opening price of $50.59, a difference of 9.33 percent. Flowserve Corp. stock has a 52-week high of $52.50. Stock prices often move to the upside on recommendations and new price targets of professional analysts.
Shares of Flowserve Corp. (NYSE: FLS) opened at $50.59 yesterday trading between $50.28 and $50.71, and last traded at $50.31, which is an increase of $0.05 over the previous closing price.
Flowserve Corp. (NYSE: FLS) currently has a market cap of 6.56B.
Flowserve Corp. (NYSE: FLS) Average Daily Trading Volume
102,938 shares crossed the trading desk yesterday, 110 percent lower than the average, out of a total float 129,881,000. 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.
However, a single day of heavy buy side trading is not enough to assert a trend. As such, market traders will continue to watch for institutional sponsorship as a signal that financial institutions are moving forward.
Institutional sponsorship commonly refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Professional 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.
Flowserve Corp. (NYSE: FLS) 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 identifying trends, moving averages allow traders to make those trends work in their favor and increase the number of successful trades.
Trades for Flowserve Corp. (NYSE: FLS) have ranged from $35.25 – 52.50, and the stock now has a 50-day MA of $49.43 and 200-day MA of $47.14. Today’s last price is 4.17%% below the 52 week high of $52.50.
Earnings growth is a critical factor to look at when investing in stocks and investors watch for companies that have been successful at growing their earnings at least 25% or more over 3 consecutive years.
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