Ternium S.A. (NYSE: TX) shares rose on Friday January 13 on lower trade volume than normal after a number of analysts weighed in on the investing value of the stock and reiterated thier respective ratings.
Meanwhile, The Dow Jones Industrial Average DJIA, -0.03% slipped 5.27 points to close 19,885.73, moving in a roughly 100-point range all session. For the week, the blue-chip index is off 0.4%.
U.S. financial markets will be closed Monday for Martin Luther King Jr. Day.
The S&P 500 index SPX, +0.18% added 4.20 points, or 0.2%, to end at 2,274.64 for a weekly loss of 0.1%, and the Nasdaq Composite Index COMP, +0.48% climbed 26.63 points, or 0.5%, to finish at 5,574.12, its sixth all-time closing high in seven trading sessions.
Berenberg Bank analysts reiterated its Buy rating on Ternium S.A. (NYSE: TX) in a note to investors, making it one of the more closely watched stocks on Wall Street. Berenberg Bank currently has a rating of Buy on the stock. A number of other analysts have spoken on the stock in recent days, and the company has secured a consensus one-year price target of $27.16, higher than the opening price of $24.41, a difference of 10.97 percent. Ternium S.A. stock has a 52-week high of $27.00. Share prices often shift to the upside on recommendations and new price targets of professional analysts.
Yesterday Ternium S.A. (NYSE: TX) shares last traded at $24.75, a jump of $0.31 compared to the previous closing price. Opening at $24.41, they varied from $24.41 and $25.17 throughout the day.
Ternium S.A. (NYSE: TX) currently has a market cap of 4.86B.
Ternium S.A. (NYSE: TX) Average Daily Trading Volume
367,927 shares crossed the trading desk yesterday, 34 percent below the average, out of a total float 48,910,000. lower than normal. Look for trading volume to pick up in the coming days as investors 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.
These instituitional investors have substantial teams of analysts that research thousands of stocks. Thus, watching their interests is a good way to ensure you are buying the right stocks.
Ternium S.A. (NYSE: TX) 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, Ternium S.A. (NYSE: TX) now has a 50-day MA of $24.60 and 200-day MA of $22.10. It has traded in a 52-week range between $10.28 – 27.00 and today’s last price is 8.33%% lower than the 52 week high of $27.00.
Earnings growth is a crucial factor to research when buying stocks and investors watch for companies that have increased their earnings at least 25% or more for a 3 year period.
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