NMI Holdings Inc (NASDAQ: NMIH) shares rose on Monday February 13 on lower trade volume than normal after a number of analysts weighed in on the investing value of the stock, increasing the price target of stock.
Meanwhile U.S. stock-market indexes opened higher on Monday, setting intraday all-time highs shortly after market open. The S&P 500 SPX, +0.35% opened up 6 points, or 0.2%, at 2,322.
The Nasdaq Composite COMP, +0.44% began the session up 18 points, or 0.3% higher at 5,752. The Dow Jones Industrial Average DJIA, +0.51% added 64 points or 0.3%, to 20,340 at the open.
NMI Holdings Inc (NASDAQ: NMIH) had its price target increased by equities researchers at FBR & Co from $11.00 to $12.00. With a rating of Outperform on the shares, the company has a 52-week high of $11.48. The one-year price target of $11.75 is higher than the opening price of $11.25, causing a fair amount of other analysts to report on the company recently.
Yesterday NMI Holdings Inc (NASDAQ: NMIH) shares last traded at $11.35, an increase of $0.10 from the previous closing price. Opening at $11.25, they fluctuated from $11.25 and $11.48 throughout the day.
NMI Holdings Inc (NASDAQ: NMIH) currently has a market cap of 671.22M.
NMI Holdings Inc (NASDAQ: NMIH) Average Daily Trading Volume
20,566 shares crossed the trading desk yesterday, 25 percent lower than normal, out of a total float 52,254,000. lower than normal. Look for trading volume to pick up in the coming days as momentum traders often use upticks in trading volume to identify heavy volume accumulation or distribution by institutional investors.
While increased trading for short periods will not mean much will not mean much, conversely, 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 retain teams of analysts researching thousands of stocks. So watching their interests is a good way to make sure you are buying the right stocks.
NMI Holdings Inc (NASDAQ: NMIH) 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.
With that in mind, NMI Holdings Inc (NASDAQ: NMIH) now has a 50-day MA of $10.69 and 200-day MA of $8.72. It has traded in a 52-week range between $4.53 – 11.48 and today’s last price is 1.12%% lower than the 52 week high of $11.48.
Indeed, earnings growth is among the most crucial things to look at in regards to stock investing and, accordingly, investors look for companies that have been successful at growing their earnings by at least 25% over the past 3 years.
DISCLOSURE: The views and opinions expressed in this article do not represent the views of the website. Readers should not consider statements made by the author as formal recommendations and should consult their financial adviser before making any investment decisions. To read our full disclosure, please see our terms and conditions page.