Golar LNG Ltd. (NASDAQ: GLNG) shares rose in value in early trading today on slower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Analysts at ABN Amro upgraded shares of Golar LNG Ltd. (NASDAQ: GLNG) from Sell to Hold today. With a rating of Hold on the shares, the company has a 52-week high of $34.69. The one-year price target of $35.00 is above the opening price of $21.42, resulting a number of other analysts to comment on the stock in recent days. Stock prices often move to the upside on recommendations and new price targets of professional analysts.
Meanwhile, US stock opened lower amid concerns surrounding the U.S. Department of Justice’s probe into Deutsche Bank AG.
The S&P 500 SPX, -0.25% slipped 5 points, or 0.2%, to 2,162.
The Dow industrials DJIA, -0.26% fell 55 points, or 0.3%, to 18,252.
The Nasdaq Composite COMP, -0.11% was off 13 points, or 0.3%, to 5,298
Golar LNG Ltd. (NASDAQ: GLNG) shares last traded at $21.42, which represents a jump of $0.22 or 0.01 compared to the previous closing price. Opening at $21.42, they ranged from $21.30 and $21.74 throughout the day.
Golar LNG Ltd. (NASDAQ: GLNG) now has a market cap of 1.93B.
Golar LNG Ltd.Trading Volume
The stock’s average daily volume is 1,641,520 shares out of a total float 83,807,000 and some 182,826 shares traded hands yesterday, lower than the norm. Investors often use increases in trading volume to pinpoint substantial volume aggregation or distribution by institutional investors, so look for trading volume to pick up in the coming days.
While an increase in trading for short periods will not mean much, conversely, a trend of heavy trading volume on the buy side over a series of days or weeks sends a positive signal to market traders that institutions may be moving in, so institutional sponsorship is crucial.
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 teams of analysts researching thousands of stocks. Thus, watching their interests is a good way to make sure you are buying the right stocks.
Golar LNG Ltd. 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.
Traders can make well planned trades when they track the trading habits of professional investors.
With that in mind, Golar LNG Ltd. (NASDAQ: GLNG) now has a 50-day MA of $20.84 and 200-day MA of $18.50. It has traded in a 52-week range between $9.42 – 34.6900 and today’s last price is 0.38% lower than the 52 week high of $34.69.
Earnings growth is a crucial factor to consider when buying stocks and investors seek companies that have raised their earnings by at least 25% over 3 consecutive years.
DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of the website. Readers should not consider statements made by the author as formal recommendations and should consult their financial adviser before making any investment decisions. To read our full disclosure, please see our terms and conditions page.