The Hanover Insurance Group, Inc. (NYSE: THG) shares rose on Friday January 13 on heavier 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.
The Hanover Insurance Group, Inc. (NYSE: THG) had its Underperform rating reiterated by equities researchers at Keefe, Bruyette & Woods in a research note to investors. With a rating of Underperform on the stock, the company has a 52-week high of $91.99. A number of other analysts have spoken on the stock recently, and the company has secured a consensus one-year price target of $96.50, above the opening price of $84.16, a difference of 11.47 percent. Stock prices sometimes get a boost to the upside when analysts reiterate coverage.
Shares of The Hanover Insurance Group, Inc. (NYSE: THG) opened at $84.16 yesterday trading between $83.80 and $84.94, and last traded at $84.15, an increase of $0.12 over the previous closing price.
The Hanover Insurance Group, Inc. (NYSE: THG) currently has a market cap of 3.58B.
The Hanover Insurance Group, Inc. (NYSE: THG) Average Daily Trading Volume
The stock’s average daily volume is 220,176 shares out of a total float 41,962,000 and some 308,565 shares crossed the trading desk yesterday, 75 percent above the norm. higher than normal. Significant increases in trading volume and price appreciation together could signal heavy volume accumulation by institutional investors.
As with all potential breakouts, investors look for volume to be at least 40%-50% higher than normal on the breakout to show that fund managers and other professional investors are jumping in.
Institutional sponsorship simply refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors have 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.
The Hanover Insurance Group, Inc. (NYSE: THG) 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 The Hanover Insurance Group, Inc. (NYSE: THG) have ranged from $74.06 – 91.99, and the stock now has a 50-day MA of $89.35 and 200-day MA of $81.90. Today’s last price is 8.52%% lower than the 52 week high of $91.99.
Earnings growth is an important factor to consider when investing in stocks and investors watch for companies that have grown their earnings at least 25% or more for a 3 year period.
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