Laredo Petroleum, Inc. (NYSE: LPI) shares were down on Tuesday January 31 on lighter trade volume than normal after a number of analysts weighed in on the investing value of the stock, increasing the price target of stock.
Meanwhile, The Dow Jones Industrial Average DJIA, -0.60% fell 140 points, or 0.7%, to 19,833, with 26 of the 30 blue-chip companies trading lower. Nike, Inc. NKE, -1.10% down 2.4% and Intel Corp. INTC, -1.70% off 1%, were leading losses.
The S&P 500 SPX, -0.33% was off by 10 points, or 0.5%, to 2,270 with seven of the 11 main sectors trading lower. Industrials, consumer-discretionary, and technology shares were the worst performers, while real estate and utilities stocks attracted buyers.
The health-care sector, which was down in early trade, rebounded after President Trump called for scaling back drugmaker’s regulation, lowering taxes and prices of medicines.
The Nasdaq Composite COMP, -0.25% declined 31 points, or 0.6%, to 5,581.
Laredo Petroleum, Inc. (NYSE: LPI) had its price target raised by equities researchers at Credit Suisse Group from $0.00 to $12.00. Credit Suisse Group currently has a rating of on the stock. A number of other analysts have commented on the stock in recent days, and Laredo Petroleum, Inc. has earned a consensus one-year price target of $15.29, higher than the opening price of $13.68. Laredo Petroleum, Inc. stock has a 52-week high of $16.47.
Shares of Laredo Petroleum, Inc. (NYSE: LPI) opened at $13.68 yesterday and traded in a range between, $13.34 and $13.68, and last traded at $13.49, which represents a drop of $0.13 compared to the previous closing price.
Laredo Petroleum, Inc. (NYSE: LPI) currently has a market cap of 3.21B.
Laredo Petroleum, Inc. (NYSE: LPI) Average Daily Trading Volume
The stock’s average daily volume is 3,325,980 shares out of a total float 129,724,000 and some 167,370 shares traded hands yesterday, 90 percent lower than the norm. lower than normal. Look for trading volume to pick up in the coming days as momentum 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 teams of analysts that investigate thousands of stocks. Thus, watching their interests is a good way to ensure you are buying the right stocks.
Laredo Petroleum, Inc. (NYSE: LPI) 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.
With that in mind, Laredo Petroleum, Inc. (NYSE: LPI) now has a 50-day MA of $14.15 and 200-day MA of $12.89. It has traded in a 52-week range between $3.90 – 16.47 and today’s last price is 18.09%% lower than the 52 week high of $16.47.
Earnings growth is a critical factor to consider when buying stocks and investors look for companies that have been successful at growing their earnings at least 25% or more for a 3 year period.
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