Analysts at Zacks Investment Research upgraded shares of Ally Financial Inc. (NYSE: ALLY) from Hold to Buy today. The company currently has a rating of Buy on the stock. As a means of comparison, a number of other analysts have commented on the stock in recent days, and the company has secured a consensus one-year price target of $24.82, above the opening price of $19.29, a difference of 12.97 percent. Ally Financial Inc. stock has a 52-week high of $21.21. Usually, after analysts publish an upgrade report on a stock, they will subsequently issue other revisions, such as a price target change.
U.S. stocks closed higher Tuesday as investors anticipate the results of meetings from the Federal Reserve and the Bank of Japan.
The Dow Jones Industrial Average DJIA, +0.05% rose 9.79 points, or less than 0.1%, to close at 18,129.96.
The S&P 500 index SPX, +0.03% advanced 0.64 points to finish at 2,139.76, led by gains in the health-care and consumer-staples sectors.
The Nasdaq Composite index COMP, +0.12% gained 6.33 points, or 0.1%, to close at 5,241.35.
Yesterday Ally Financial Inc. (NYSE: ALLY) shares last traded at $19.13, which is a decrease of $0.05 over the previous closing price. Opening at $19.29, they ranged from $18.93 and $19.35 throughout the day.
Ally Financial Inc. (NYSE: ALLY) now has a market cap of 9.18B.
3,919,591 shares traded hands yesterday, 14 percent higher than the norm, out of a total float 479,061,000. Heavy volume accumulation by institutional investors may be on the horizon as the combination of significant gains in trading volume and price inflation can be indicative factors.
While increased trading for one day will not mean much, conversely, a trend of heavy trading volume on the buy side over a period of days or weeks sends a positive indicator to market traders that institutions may be moving in, so institutional sponsorship is critical.
Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Professional investors such as these retain substantial teams of analysts researching thousands of stocks, so it is good confirmation to see them taking a postion in a stock you are researching.
By marking the activity of these professional investors—and the moving averages they affect—it allows for traders to make more impactful decisions on trades.
Trades for Ally Financial Inc. (NYSE: ALLY) have ranged from $14.55 – 21.21, and the stock now has a 50-day MA of $19.29 and 200-day MA of $17.89. Today’s last price is 0.10% lower than the 52 week high of $21.21.
Earnings growth is an important factor to research when buying stocks and investors watch for companies that have been successful at growing their earnings by at least 25% for 3 consecutive years.
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