Sharps Compliance Corp. (SMED) Shares Active after Upgrade at Zacks Investment Research

Zacks Investment Research (Sharps Compliance Corp.: NASDAQ) shares rose in value Wednesday Dec 28 with slower 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 were little changed on Wednesday, as investors found few reasons to keep pushing shares higher towards the 20,000 mark.

The Dow Jones Industrial Average DJIA, -0.11% rose 3.1 points to 19,949, essentially unchanged on the day. The S&P 500 SPX, -0.39% lost 3 points, or 0.1%, to 2,266 while the Nasdaq Composite Index COMP, -0.59% slipped 6.4 points, or 0.1%, to 5,482.

Analysts at Zacks Investment Research upgraded shares of Zacks Investment Research (Sharps Compliance Corp.: NASDAQ) from Strong Sell to Hold today. The company currently has a rating of Hold on the shares. As a means of comparison, a number of other analysts have issued reports on the stock recently, and Sharps Compliance Corp. has secured a consensus one-year price target of $6.00, higher than the opening price of $3.68. Sharps Compliance Corp. stock has a 52-week high of $8.99. Stock prices sometimes get a bounce to the upside when analysts upgrade a stock.

Zacks Investment Research (Sharps Compliance Corp.: NASDAQ) shares last traded at $3.74, which is a jump of $0.09 or 2.55% from the previous closing price. Opening at $3.68, they fluctuated from $3.68 and $3.74 throughout the day.

Zacks Investment Research (Sharps Compliance Corp.: NASDAQ) currently has a market cap of 59.54M.

Zacks Investment Research (Sharps Compliance Corp.: NASDAQ) Average Daily Trading Volume

2,410 shares traded hands yesterday, below the average, out of a total float 11,755,000. Trading volume is likely to increase in the next few days as swing traders often use swings in trading volume to determine substantial volume aggregation or circulation by institutional investors.

While higher 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 expresses a positive signal to market traders that institutions may be moving in, so institutional sponsorship is critical.

Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.

Institutional investors such as these retain substantial teams of analysts that research thousands of stocks. So watching their interests is a good way to make sure you are buying the right stocks.

Zacks Investment Research (Sharps Compliance Corp.: NASDAQ) 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.

Traders can make more impactful choices on trades when they track the trading habits of professional investors.

Trades for Zacks Investment Research (Sharps Compliance Corp.: NASDAQ) have ranged from $3.32 – 8.990, and the stock now has a 50-day MA of $4.06 and 200-day MA of $4.47. Today’s last price is 58.37%% under the 52 week high of $8.99.

Earnings growth is a critical factor to consider when buying stocks and investors seek companies that have raised their earnings by at least 25% over a 3 year period.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and 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.

Leave a Reply

Your email address will not be published. Required fields are marked *