Nielsen NV (NLSN) Shares Active after Upgrade at Morgan Stanley

Nielsen NV (NYSE: NLSN) shares rose in value Wednesday Dec 14 with lower 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. equities traded mostly lower on Wednesday as investors awaited the Federal Reserve’s latest decision regarding monetary policy.

The Dow Jones industrial average traded 35 points lower, with Goldman Sachs contributing the most losses. The S&P 500 traded 0.1 percent lower, with financials leading decliners. The Nasdaq composite, meanwhile, held flat.

Analysts at Morgan Stanley upgraded shares of Nielsen NV (NYSE: NLSN) from Equal Weight to Overweight today. With a rating of Overweight on the shares, the company has a 52-week high of $55.94. A number of other analysts have issued reports on the stock recently, and the company has secured a consensus one-year price target of $49.47, higher than the opening price of $43.32. Share prices sometimes get a bounce to the upside when analysts upgrade a stock.

Shares of Nielsen NV (NYSE: NLSN) opened at $43.32 on Tuesday trading between $42.38 and $43.32, and last traded at $43.12, a jump of $1.08 or 2.57% over the previous closing price.

Nielsen NV (NYSE: NLSN) now has a market cap of 15.41B.

Nielsen NV (NYSE: NLSN) Average Daily Trading Volume

The stock’s average daily volume is 3,004,270 shares out of a total float 350,874,000 and some 470,859 shares traded hands yesterday, lower than normal. Momentum traders often use swings in trading volume to determine large volume aggregation or circulation by institutional investors, so trading volume is likely to increase in the next few days.

However, just a day of high volume buy side trading is not enough to determine 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 instituitional investors have teams of analysts researching thousands of stocks, so it is good confirmation to see them taking a postion in a stock you are considering.

Nielsen NV (NYSE: NLSN) 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 following the activity of these professional investors—and the moving averages they influence— traders are able to make make educated trades.

With that in mind, Nielsen NV (NYSE: NLSN) now has a 50-day MA of $43.67 and 200-day MA of $50.80. It has traded in a 52-week range between $41.00 – 55.94 and today’s last price is 22.92%% lower than the 52 week high of $55.94.

Indeed, earnings growth is among the most crucial things to look at in regards to stock investing and, accordingly, investors identify companies that have raised their earnings at least 25% or more over a 3 year period.

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