Seattle Genetics, Inc. (NASDAQ: SGEN) shares rose on Monday February 13 on lighter 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.
Seattle Genetics, Inc. (NASDAQ: SGEN) had its price target increased by equities researchers at Credit Suisse Group from $0.00 to $66.00. Credit Suisse Group currently has a rating of on the shares. As a means of comparison, a number of other analysts have commented on the company in recent days, and the company has secured a consensus one-year price target of $60.14, lower than the opening price of $60.31. Seattle Genetics, Inc. stock has a 52-week high of $75.36.
Yesterday Seattle Genetics, Inc. (NASDAQ: SGEN) shares last traded at $62.87, which represents a jump of $2.71 over the previous closing price. Opening at $60.31, they varied from $60.02 and $62.90 throughout the day.
Seattle Genetics, Inc. (NASDAQ: SGEN) now has a market cap of 8.92B.
Seattle Genetics, Inc. (NASDAQ: SGEN) Average Daily Trading Volume
143,832 shares crossed the trading desk yesterday, 45 percent lower than the average, out of a total float 94,656,000. lower than normal. Look for trading volume to pick up in the coming days as swing traders often use upticks in trading volume to identify heavy volume accumulation or distribution by institutional investors.
While increased trading for one day 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 commonly refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Professional investors such as these retain substantial teams of analysts that investigate thousands of stocks. Thus, watching their interests is a good way to make sure you are buying the right stocks.
Seattle Genetics, Inc. (NASDAQ: SGEN) 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 Seattle Genetics, Inc. (NASDAQ: SGEN) have ranged from $26.98 – 75.3600, and the stock now has a 50-day MA of $58.10 and 200-day MA of $56.04. Today’s last price is 16.57%% below the 52 week high of $75.36.
Earnings growth is an important factor to look at when investing in stocks and investors look for companies that have raised their earnings at least 25% or more for the past 3 years.
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