FedEx Corporation (NYSE: FDX) shares rose in value on Monday February 6 on lighter trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Investors turned cautious in early trading today with the Dow Jones Industrial Average DJIA, was off by 17 points, or 0.1%, to 20.054.
The S&P 500 SPX, -0.14% eased 5 points, or 0.2%, to 2,293, with seven of the 11 main sectors trading lower. Nearly all main sectors were trading lower, while materials and consumer staples led the losses.
The Nasdaq Composite COMP, -0.14% slipped 10 points, or 0.2%, at 5,144.
Analysts at Raymond James Financial, Inc. upgraded shares of FedEx Corporation (NYSE: FDX) from Market Perform to Outperform today. With a rating of Outperform on the stock, FedEx Corporation has a 52-week high of $201.57. The one-year price target of $210.10 is higher than the opening price of $190.43, that has caused a fair amount of other analysts to report on the company recently. Usually, after analysts issue an upgrade report on a stock, they will subsequently issue other revisions, such as a price target change.
Shares of FedEx Corporation (NYSE: FDX) opened at $190.43 yesterday trading between $189.37 and $190.75, and last traded at $190.22, which represents an increase of $2.01 compared to the previous closing price.
FedEx Corporation (NYSE: FDX) now has a market cap of 50.70B.
FedEx Corporation (NYSE: FDX) Average Daily Trading Volume
The stock’s average daily volume is 1,732,290 shares out of a total float 246,107,000 and some 187,798 shares traded hands yesterday, 100 percent below the norm. lower than normal. Look for trading volume to pick up in the coming days as swing traders often use increases 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.
These professional investors retain substantial teams of analysts researching thousands of stocks. So watching their interests is a good way to ensure you are buying the right stocks.
FedEx Corporation (NYSE: FDX) 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 winning trades.
With that in mind, FedEx Corporation (NYSE: FDX) now has a 50-day MA of $189.75 and 200-day MA of $177.38. It has traded in a 52-week range between $122.78 – 201.57 and today’s last price is 5.63%% lower than the 52 week high of $201.57.
Earnings growth is a crucial factor to research when buying stocks and investors seek companies that have increased their earnings by at least 25% over 3 consecutive years.
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