Enbridge Inc. (NYSE: ENB) shares rose on Thursday Dec 1 with 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, U.S. stocks opened with slight gains on Thursday.
The Dow Jones Industrial Average DJIA, +0.31% rose 38.22 points, or 0.2%, to 19,174, while the S&P 500 SPX, +0.01% added 2.1 points to 2,202, a rise of 0.1%.
The Nasdaq Composite Index COMP, -0.32% rose less than 1 point to 5,323, essentially unchanged on the day.
Analysts at Macquarie reiterated a Buy rating on shares of Enbridge Inc. (NYSE: ENB) in a reserach note to investors, making it one of the more closely watched stocks on Wall Street. Macquarie currently has a rating of Buy on the stock. The one-year price target of $46.90 is above the opening price of $42.68, resulting a number of other analysts to issue statements on the stock in recent days. Looking back over the last 52 weeks, Enbridge Inc. stock has a high of $45.77. Typically, after analysts issue a “reiterated rating” report on a stock, they will later issue periodic revisions, such as a price target change.
Enbridge Inc. (NYSE: ENB) shares last traded at $42.10, which represents a spike of $0.06 or 0.14% over the previous closing price. Opening at $42.68, they varied from $41.99 and $42.74 throughout the day.
Enbridge Inc. (NYSE: ENB) currently has a market cap of 39.52B.
Enbridge Inc. (NYSE: ENB) Average Daily Trading Volume
265,282 shares traded hands yesterday, below the norm, out of a total float 904,541,000. Momentum traders often use increases in trading volume to identify substantial volume accumulation or circulation by institutional investors, so trading volume is likely to increase in the next few days.
As with all potential breakouts, investors watch for volume to be at least 40%-50% greater 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 make sure you are buying the right stocks.
Enbridge Inc. (NYSE: ENB) 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 successful trades.
With that in mind, Enbridge Inc. (NYSE: ENB) now has a 50-day MA of $42.87 and 200-day MA of $42.04. It has traded in a 52-week range between $27.43 – 45.77 and today’s last price is 8.02%% lower than the 52 week high of $45.77.
Earnings growth is a crucial factor to look at when buying stocks and investors look for companies that have been successful at growing their earnings by at least 25% for a 3 year period.
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