McEwen Mining Inc. (NYSE: MUX) shares slid back in value Thursday Dec 15 with lower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Analysts at Zacks Investment Research upgraded shares of McEwen Mining Inc. (NYSE: MUX) from Hold to Buy today. Zacks Investment Research currently has a rating of Buy on the stock. The one-year price target of $5.00 is above the opening price of $2.73, causing a fair amount of other analysts to issue statements on the stock recently. Looking back over the last 52 weeks, McEwen Mining Inc. stock has a high of $4.92. Share prices often shift to the upside on recommendations and new price targets of professional analysts.
McEwen Mining Inc. (NYSE: MUX) shares last traded at $2.78, which is a drop of $0.04 per share or -1.42% compared to the previous closing price. Opening at $2.73, they varied from $2.67 and $2.81 throughout the day.
McEwen Mining Inc. (NYSE: MUX) now has a market cap of 832.69M.
McEwen Mining Inc. (NYSE: MUX) Average Daily Trading Volume
1,141,935 shares traded hands yesterday, lower than the norm, out of a total float 222,201,000. Investors often use increases in trading volume to pinpoint substantial volume growth or circulation 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 sends a positive cue to market traders that institutions may be moving in, so institutional sponsorship is critical.
Institutional sponsorship commonly refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors have teams of analysts researching thousands of stocks, so it is good corroboration to see them taking a postion in a stock you are researching.
McEwen Mining Inc. (NYSE: MUX) 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.
Trades for McEwen Mining Inc. (NYSE: MUX) have ranged from $0.93 – 4.92, and the stock now has a 50-day MA of $3.05 and 200-day MA of $3.59. Today’s last price is 43.50%% below the 52 week high of $4.92.
Indeed, earnings growth is among the most important things to look at in regards to stock investing and, accordingly, investors seek companies that have raised their earnings by at least 25% over 3 consecutive years.
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