SBA Communications Corp. (NASDAQ: SBAC) shares rose in value Wednesday Nov 30 with lighter trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Meanwhile, the Dow Jones Industrial Average hit an intraday record after opening higher Wednesday, led by the energy sector as hopes rose that the world’s major oil producers are near a deal on limiting output.
The benchmark S&P 500 and Dow were on track to post their largest monthly gains since March.
The S&P 500 SPX, +0.22% gained 5 points, or 0.2%, to 2,209. The Dow Jones Industrial Average DJIA, +0.41% added 62 points, or 0.3%, to 19,184, trading in record territory. The Nasdaq Composite COMP, -0.08% was 7 points, or 0.1%, higher at 5,386.
Analysts at JPMorgan Chase & Co. upgraded shares of SBA Communications Corp. (NASDAQ: SBAC) from Neutral to Overweight today. With a rating of Overweight on the stock, SBA Communications Corp. has a 52-week high of $118.57. The one-year price target of $129.57 is above the opening price of $101.38, that has caused a fair amount of other analysts to issue statements on the stock recently. Share prices sometimes get a spike to the upside when analysts upgrade a stock.
Shares of SBA Communications Corp. (NASDAQ: SBAC) opened at $101.38 on Tuesday and has traded in a range between, $100.81 and $102.37, and last traded at $101.04, which represents a jump of $1.23 or 1.23% from the previous closing price.
SBA Communications Corp. (NASDAQ: SBAC) currently has a market cap of 12.54B.
SBA Communications Corp. (NASDAQ: SBAC) Average Daily Trading Volume
197,380 shares traded hands yesterday, lower than normal, out of a total float 122,978,000. Trading volume is likely to increase in the next few days as investors often use upticks in trading volume to pinpoint substantial volume growth or circulation by institutional investors.
However, a single day of heavy 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.
Institutional investors such as these have teams of analysts that research thousands of stocks. Thus, watching their interests is a good way to make sure you are buying the right stocks.
SBA Communications Corp. (NASDAQ: SBAC) 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 marking the activity of these professional investors and how they affect moving averages, traders are able to make make the best trades.
Trades for SBA Communications Corp. (NASDAQ: SBAC) have ranged from $82.80 – 118.57, and the stock now has a 50-day MA of $107.12 and 200-day MA of $108.54. Today’s last price is 14.78%% below the 52 week high of $118.57.
Indeed, earnings growth is among the most important things to look at in regards to stock investing and, accordingly, investors look for companies that have grown their earnings by at least 25% over a 3 year period.
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