Saia Inc. (NASDAQ: SAIA) shares slid back in value Tuesday Dec 6 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. stocks looked for direction on Tuesday with the Dow industrials trying for a fresh record a day after closing at an all-time high in the previous session.
The Dow Jones Industrial Average DJIA, -0.08% opened little-changed at 19,221, the S&P 500 index SPX, -0.01% climbed 2 points, or 0.1%, at 2,206, while the Nasdaq Composite Index COMP, +0.20%
Analysts at Zacks Investment Research upgraded shares of Saia Inc. (NASDAQ: SAIA) from Hold to Buy today. With a rating of Buy on the stock, the company has a 52-week high of $44.90. As a means of comparison, a number of other analysts have commented on the company recently, and Saia Inc. has secured a consensus one-year price target of $34.80, lower than the opening price of $44.10, a difference of 7.97 percent. Stock prices often trend to the upside on recommendations and new price targets of professional analysts.
Shares of Saia Inc. (NASDAQ: SAIA) opened at $44.10 on Tuesday and has traded in a range between, $43.40 and $44.90, and last traded at $43.65, which represents a decrease of $0.40 per share or -0.91% from the previous closing price.
Saia Inc. (NASDAQ: SAIA) currently has a market cap of 1.09B.
Saia Inc. (NASDAQ: SAIA) Average Daily Trading Volume
The stock’s average daily volume is 209,312 shares out of a total float 24,685,000 and some 16,854 shares crossed the trading desk yesterday, below the average. Trading volume is likely to increase in the next few days as swing traders often use upticks in trading volume to identify large volume growth or circulation by institutional investors.
However, one day of high volume buy side trading is not enough to assert a trend. So market traders will continue to watch for institutional sponsorship as a signal that financial institutions are moving forward.
Institutional sponsorship commonly refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Institutional investors such as these retain substantial teams of analysts researching thousands of stocks, so it is good corroboration to see them taking a postion in a stock you are considering.
Saia Inc. (NASDAQ: SAIA) 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 identifying trends, moving averages allow traders to make those trends work in their favor and increase the number of successful trades.
With that in mind, Saia Inc. (NASDAQ: SAIA) now has a 50-day MA of $37.46 and 200-day MA of $30.31. It has traded in a 52-week range between $18.28 – 44.90 and today’s last price is 2.78%% lower than the 52 week high of $44.90.
Earnings growth is a crucial factor to research when buying stocks and investors identify companies that have raised their earnings at least 25% or more for 3 consecutive years.
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