Micron Technology, Inc. (NASDAQ: MU) shares rose on Tuesday February 7 on lower trade volume than normal after a number of analysts weighed in on the investing value of the stock, boosting the price target of stock.
U.S. stocks were up in early trade on Tuesday which could put the equity market on track to set new records.
Investors were focusing on earnings, with GM and Michael Kors making moves after reporting early.
S&P 500 futures ESH7, +0.31% rose 7 points, or 0.3%, to 2,293.50, while Dow Jones Industrial Average futures YMH7, +0.46% tacked on 70 points, or 0.4%, to 20,042. Nasdaq-100 futures NQH7, +0.48% added 14 points, or 0.3%, to 5,171.75.
Micron Technology, Inc. (NASDAQ: MU) had its price target boosted by equities researchers at Instinet from $0.00 to $30.00. The company currently has a rating of on the shares. The one-year price target of $28.19 is higher than the opening price of $24.59, causing a fair amount of other analysts to report on the company in recent days. Looking back over the last year, Micron Technology, Inc. stock has a high of $25.31.
Shares of Micron Technology, Inc. (NASDAQ: MU) opened at $24.59 yesterday trading between $24.37 and $24.69, and last traded at $24.49, which is an increase of $0.15 from the previous closing price.
Micron Technology, Inc. (NASDAQ: MU) now has a market cap of 27.01B.
Micron Technology, Inc. (NASDAQ: MU) Average Daily Trading Volume
The stock’s average daily volume is 26,566,900 shares out of a total float 1,040,578,000 and some 3,812,264 shares traded hands yesterday, 2 percent lower than the average. lower than normal. Look for trading volume to pick up in the coming days as investors often use swings in trading volume to identify heavy volume accumulation or distribution by institutional investors.
While increased trading for one day 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 signal to market traders that institutions may be moving in, so institutional sponsorship is very important.
Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Professional investors such as these have substantial teams of analysts that research thousands of stocks, so it is good validation to see them taking a postion in a stock you’re considering.
Micron Technology, Inc. (NASDAQ: MU) 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 decisions on trades.
Trades for Micron Technology, Inc. (NASDAQ: MU) have ranged from $9.35 – 25.31, and the stock now has a 50-day MA of $22.72 and 200-day MA of $18.48. Today’s last price is 3.24%% below the 52 week high of $25.31.
Earnings growth is an important factor to look at when buying stocks and investors seek companies that have raised their earnings by at least 25% over 3 consecutive years.
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