Chart Industries Inc. (GTLS) Shares Slip, Investors Watching Closely, Here is Why

Chart Industries Inc. (NASDAQ: GTLS) shares fell on Tuesday Dec 13 with lower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a downgraded rating.

Meanwhile, the Dow DJIA, +0.47% climbed 106 points, or 0.6%, to 19,905. If the Dow finishes higher, it will notch its seventh straight gain.

The S&P 500 index SPX, +0.56% gained 10.45 points, or 0.5%, to 2,267 and the tech-heavy Nasdaq Composite Index COMP, +1.02% added 48 points, or 0.9%, to 5,461.

Both the S&P 500 index SPX, +0.56% and Nasdaq Composite COMP, +1.02% ended lower on Monday, with investors appearing reluctant to push shares higher ahead of the Fed meeting

Analysts at Citigroup Inc. downgraded shares of Chart Industries Inc. (NASDAQ: GTLS) from to Market Perform in a research note to investors today. Citigroup Inc. currently has a rating of Market Perform on the stock. The one-year price target of $30.30 is less than the opening price of $39.50, causing a fair amount of other analysts to comment on the company in recent days. Looking back over the last year, Chart Industries Inc. stock has a high of $40.74. Downgrades are more likely when analysts believe that the future prospects for the security have dropped from the original recommendation, often due to an important and major change in the company’s actions, future direction or industry.

Chart Industries Inc. (NASDAQ: GTLS) shares last traded at $38.13, which represents a decrease of $2.03 per share or -5.05% from the previous closing price. Opening at $39.50, they varied from $38.11 and $39.54 throughout the day.

Chart Industries Inc. (NASDAQ: GTLS) now has a market cap of 1.17B.

Chart Industries Inc. (NASDAQ: GTLS) Average Daily Trading Volume

45,329 shares traded hands yesterday, below the norm, out of a total float 30,184,000. Investors often use upticks in trading volume to determine substantial volume accumulation or distribution by institutional investors, so trading volume is likely to increase in the next few days.

As with all possible breakouts, investors watch for volume to be at least 40%-50% greater than normal on the breakout to demonstrate that fund managers and other professional investors are jumping in.

Institutional sponsorship commonly refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.

These instituitional investors have substantial teams of analysts researching thousands of stocks, so it is good confirmation to see them buying a stock you are researching.

Chart Industries Inc. (NASDAQ: GTLS) 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 investors to make those trends work in their favor and increase the number of successful trades.

Trades for Chart Industries Inc. (NASDAQ: GTLS) have ranged from $13.27 – 40.74, and the stock now has a 50-day MA of $33.38 and 200-day MA of $29.94. Today’s last price is 6.41%% below the 52 week high of $40.74.

Earnings growth is a critical factor to research when investing in stocks and investors identify companies that have raised their earnings at least 25% or more over the past 3 years.

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