Shares of Johnson & Johnson (NYSE: JNJ) were downgraded by analysts at Zacks Investment Research in a note to their investors today. With a rating of Hold on the stock, the company has a 52-week high of $126.07. The one-year price target of $126.76 is above the opening price of $118.17, causing a number of other analysts to issue statements on the company in recent days. Material and integral changes in the company’s actions, future direction or industry can cause downgrades as the analysts believe that the future prospects for the security have weakened from the initial recommendation.
U.S. stocks closed higher Tuesday as investors anticipate the results of meetings from the Federal Reserve and the Bank of Japan.
The Dow Jones Industrial Average DJIA, +0.05% rose 9.79 points, or less than 0.1%, to close at 18,129.96.
The S&P 500 index SPX, +0.03% advanced 0.64 points to finish at 2,139.76, led by gains in the health-care and consumer-staples sectors.
The Nasdaq Composite index COMP, +0.12% gained 6.33 points, or 0.1%, to close at 5,241.35.
Shares of Johnson & Johnson (NYSE: JNJ) opened at $118.17 yesterday and traded in a range between, $117.69 and $118.24, and last traded at $117.95, which is a jump of $0.29 compared to the previous closing price.
Johnson & Johnson (NYSE: JNJ) currently has a market cap of 322.70B.
5,187,716 shares traded hands yesterday, 68 percent lower than the average, out of a total float 2,734,645,000. Investors often use swings in trading volume to identify substantial volume growth or distribution by institutional investors, so look for trading volume to pick up in the coming days.
While increased trading for short periods will not mean much, however, a trend of heavy trading volume on the buy side over a period of days or weeks expresses a positive cue to market traders that institutions may be moving in, so institutional sponsorship is very important.
Institutional sponsorship just refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors have substantial teams of analysts that investigate thousands of stocks. So watching their interests is a good way to ensure you are buying the right stocks.
By following the activity of these professional investors and how they affect moving averages, traders can make smarter trades.
With that in mind, Johnson & Johnson (NYSE: JNJ) now has a 50-day MA of $120.43 and 200-day MA of $116.12. It has traded in a 52-week range between $89.90 – 126.07 and today’s last price is 0.06% lower than the 52 week high of $126.07.
Indeed, earnings growth is among the most critical things to look at in regards to stock investing and, accordingly, investors watch for companies that have been successful at growing their earnings by at least 25% for the past 3 years.
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