Synaptics Incorporated (NASDAQ: SYNA) shares rose in value on Thursday February 2 on lighter 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, -0.10% fell 34 points, or 0.2%, to 19,858. The S&P 500 SPX, -0.11% lost 4 points to 2,276, a drop of 0.2%. The Nasdaq Composite Index COMP, -0.05% slid 16 points, or 0.3%, to 5,626. Among the most actively traded Nasdaq stocks was Facebook Inc FB, +0.31% which fell 0.7% a day after it reported its quarterly results.
Analysts at Zacks Investment Research upgraded shares of Synaptics Incorporated (NASDAQ: SYNA) from Sell to Hold today. The company currently has a rating of Hold on the stock. The one-year price target of $66.29 is above the opening price of $56.13, causing a number of other analysts to report on the company recently. Looking back over the last 52 weeks, Synaptics Incorporated stock has a high of $90.91. Share prices sometimes get a boost to the upside when analysts upgrade a stock.
Yesterday Synaptics Incorporated (NASDAQ: SYNA) shares last traded at $56.82, an increase of $0.12 from the previous closing price. Opening at $56.13, they varied from $55.81 and $57.04 throughout the day.
Synaptics Incorporated (NASDAQ: SYNA) currently has a market cap of 2.01B.
Synaptics Incorporated (NASDAQ: SYNA) Average Daily Trading Volume
The stock’s average daily volume is 626,684 shares out of a total float 35,036,000 and some 34,781 shares traded hands yesterday, 95 percent below 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.
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 just refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Institutional investors such as these have substantial teams of analysts researching thousands of stocks, so it is good confirmation to see them taking a postion in a stock you are considering.
Synaptics Incorporated (NASDAQ: SYNA) 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 tracking the activity of these professional investors—and the moving averages they affect—it allows for traders to make more effective decisions on trades.
Trades for Synaptics Incorporated (NASDAQ: SYNA) have ranged from $47.09 – 90.910, and the stock now has a 50-day MA of $55.16 and 200-day MA of $56.68. Today’s last price is 37.50%% below the 52 week high of $90.91.
Earnings growth is a critical factor to look at when buying stocks and investors seek companies that have grown their earnings at least 25% or more over the past 3 years.
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