Tower International, Inc. (NYSE: TOWR) shares rose on Wednesday January 25 on lower trade volume than normal after a number of analysts weighed in on the investing value of the stock and reiterated thier respective ratings.
Meanwhile, the Dow Jones Industrial Average on Wednesday crossed the 20,000 level for the first time, while the S&P 500 and Nasdaq Composite also traded in record territory shortly after the market opened
The Dow Jones Industrial Average DJIA, +0.60% advanced 100 points, or 0.5%, to 20,012,
The S&P 500 index SPX, +0.55% gained 10 points, or 0.5%, to 2,289, with eight of the main 11 sectors trading higher.
The Nasdaq Composite index COMP, +0.66% was 30 points, or 0.6%, higher at 5,630.
All three main indexes set intraday records shortly after the opening bell.
FBR & Co analysts reiterated its Outperform rating on Tower International, Inc. (NYSE: TOWR) in a note to investors, making it one of the more closely watched stocks on Wall Street. The company currently has a rating of Outperform on the shares. The one-year price target of $33.50 is above the opening price of $27.00, causing a number of other analysts to issue statements on the company recently. Looking back over the last 52 weeks, Tower International, Inc. stock has a high of $29.05. Stock prices often move to the upside on recommendations and new price targets of professional brokerage firms.
Yesterday Tower International, Inc. (NYSE: TOWR) shares last traded at $26.95, which is a spike of $0.20 over the previous closing price. Opening at $27.00, they varied from $26.90 and $27.35 throughout the day.
Tower International, Inc. (NYSE: TOWR) currently has a market cap of 548.14M.
Tower International, Inc. (NYSE: TOWR) Average Daily Trading Volume
The stock’s average daily volume is 157,002 shares out of a total float 18,106,000 and some 12,251 shares crossed the trading desk yesterday, 74 percent below normal. 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 simply refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Professional investors such as these retain substantial teams of analysts that research thousands of stocks. So watching their interests is a good way to make sure you are buying the right stocks.
Tower International, Inc. (NYSE: TOWR) 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 winning trades.
With that in mind, Tower International, Inc. (NYSE: TOWR) now has a 50-day MA of $27.71 and 200-day MA of $24.51. It has traded in a 52-week range between $18.75 – 29.05 and today’s last price is 7.23%% lower than the 52 week high of $29.05.
Earnings growth is a critical factor to consider when investing in stocks and investors seek companies that have raised their earnings by at least 25% over a 3 year period.
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