General Mills Inc. (NYSE: GIS) shares rose in value Tuesday Nov 22 with slower 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 opened opened higher, trading above 19,000 for the first time ever, while the S&P 500 traded above 2,200 shortly after the opening bell on Tuesday.
The S&P 500 SPX, +0.17% opened 5 points, or 0.2%, higher at 2,202. The Dow Jones Industrial Average DJIA, +0.20% added 45 points, or 0.2%, to 19,002. The Nasdaq Composite COMP, +0.25% began the session up 16 points, or 0.3%, at 5,385.
Analysts at Zacks Investment Research upgraded shares of General Mills Inc. (NYSE: GIS) from Hold to Buy today. The company currently has a rating of Buy on the shares. As a means of comparison, a number of other analysts have issued reports on the stock recently, and the company has secured a consensus one-year price target of $66.56, above the opening price of $61.93. General Mills Inc. stock has a 52-week high of $72.95. Stock prices sometimes get a bounce to the upside when analysts upgrade a stock.
Shares of General Mills Inc. (NYSE: GIS) opened at $61.93 on Tuesday and has traded in a range between, $61.92 and $62.29, and last traded at $62.16, which is a spike of $0.53 or 0.86% over the previous closing price.
General Mills Inc. (NYSE: GIS) now has a market cap of 36.76B.
General Mills Inc. (NYSE: GIS) Average Daily Trading Volume
The stock’s average daily volume is 3,395,150 shares out of a total float 589,833,000 and some 140,802 shares crossed the trading desk yesterday, lower than normal. Investors often use increases in trading volume to determine large volume growth or dissemination by institutional investors, so trading volume is likely to increase in the next few days.
As with all possible breakouts, investors look for volume to be at least 40%-50% above normal on the breakout to demonstrate that fund managers and other professional investors are jumping in.
Institutional sponsorship is defined by 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 it is good validation to see them buying a stock you’re considering.
General Mills Inc. (NYSE: GIS) 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 judgments on trades.
Trades for General Mills Inc. (NYSE: GIS) have ranged from $53.53 – 72.95, and the stock now has a 50-day MA of $61.71 and 200-day MA of $66.11. Today’s last price is 14.79%% under the 52 week high of $72.95.
Indeed, earnings growth is among the most important things to look at in regards to stock investing and, accordingly, investors seek companies that have increased their earnings by at least 25% over the past 3 years.
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