Myriad Genetics, Inc. (NASDAQ: MYGN) shares rose in value on Wednesday February 8 on heavier trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Meanwhile U.S. stocks traded modestly lower on Wednesday, as losses in energy shares following a drop in oil prices and a slide in financials weighed on the main indexes.
The S&P 500 index SPX, -0.17% declined 6 points, or 0.3%, to 2,286, with six of the main sectors trading lower. Energy and financials were leading the losses, down more than 1%.
The Dow Jones Industrial Average DJIA, -0.26% was down 65 points, or 0.3%, to 20,021, a day after the blue-chip index set an intraday high at 10,155.35. The Nasdaq Composite COMP, -0.13% retreated from an all-time high set on Tuesday, falling 23 points, or 0.4%, to 5,650.
Analysts at Ladenburg Thalmann Financial Services upgraded shares of Myriad Genetics, Inc. (NASDAQ: MYGN) from Sell to Neutral today. With a rating of Neutral on the stock, the company has a 52-week high of $39.74. The one-year price target of $19.42 is above the opening price of $17.69, that has caused a fair amount of other analysts to report on the company in recent days. Usually, after analysts assign an upgrade report on a stock, they will later issue recurring updates, usually followed by a price target change.
Shares of Myriad Genetics, Inc. (NASDAQ: MYGN) opened at $17.69 yesterday trading between $16.67 and $17.89, and last traded at $17.35, which represents a spike of $1.95 compared to the previous closing price.
Myriad Genetics, Inc. (NASDAQ: MYGN) currently has a market cap of 1.19B.
Myriad Genetics, Inc. (NASDAQ: MYGN) Average Daily Trading Volume
2,250,656 shares traded hands yesterday, 3 percent higher than normal, out of a total float 60,629,000. higher than normal. Significant increases in trading volume and price appreciation together could signal heavy volume accumulation by institutional investors.
However, a single day of heavy buy side trading is not enough to assert a trend. As such, market traders will continue to watch for institutional sponsorship as a signal that financial institutions are moving forward.
Institutional sponsorship is defined by 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. Thus, watching their interests is a good way to ensure you are buying the right stocks.
Myriad Genetics, Inc. (NASDAQ: MYGN) 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 Myriad Genetics, Inc. (NASDAQ: MYGN) have ranged from $15.15 – 39.74, and the stock now has a 50-day MA of $16.50 and 200-day MA of $19.69. Today’s last price is 56.34%% under the 52 week high of $39.74.
Indeed, earnings growth is among the most critical things to look at in regards to stock investing and, accordingly, investors seek companies that have grown their earnings at least 25% or more over a 3 year period.
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