Verso Corp (NYSE: VRS) shares rose in value Tuesday Dec 13 with lower 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 DJIA, +0.47% climbed 106 points, or 0.6%, to 19,905. If the Dow finishes higher, it will notch its seventh straight gain.
The S&P 500 index SPX, +0.56% gained 10.45 points, or 0.5%, to 2,267 and the tech-heavy Nasdaq Composite Index COMP, +1.02% added 48 points, or 0.9%, to 5,461.
Both the S&P 500 index SPX, +0.56% and Nasdaq Composite COMP, +1.02% ended lower on Monday, with investors appearing reluctant to push shares higher ahead of the Fed meeting
Analysts at Zacks Investment Research upgraded shares of Verso Corp (NYSE: VRS) from Sell to Hold today. With a rating of Hold on the stock, the company has a 52-week high of $13.60. A number of other analysts have commented on the company recently, and the company has secured a consensus one-year price target of $25.00, above the opening price of $6.79, a difference of 36.50 percent. Stock prices sometimes get a boost to the upside when analysts upgrade a stock.
Shares of Verso Corp (NYSE: VRS) opened at $6.79 on Tuesday and has traded in a range between, $6.78 and $6.85, and last traded at $6.85, an increase of $0.05 or 0.75% compared to the previous closing price.
Verso Corp (NYSE: VRS) currently has a market cap of 235.62M.
Verso Corp (NYSE: VRS) Average Daily Trading Volume
300 shares traded hands yesterday, lower than normal, out of a total float 23,036,000. Trading volume is likely to increase in the next few days as momentum traders often use increases in trading volume to identify heavy volume growth or distribution by institutional investors.
While increased trading for short periods will not mean much, however, a trend of heavy trading volume on the buy side over a series of days or weeks sends a positive cue to market traders that institutions may be moving in, so institutional sponsorship is critical.
Institutional sponsorship simply refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These instituitional investors retain substantial teams of analysts researching thousands of stocks. So watching their interests is a good way to ensure you are buying the right stocks.
Verso Corp (NYSE: VRS) 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 how they affect moving averages,it allows for traders to make more impactful decisions on trades.
With that in mind, Verso Corp (NYSE: VRS) now has a 50-day MA of $5.61 and 200-day MA of $7.12. It has traded in a 52-week range between $4.37 – 13.6000 and today’s last price is 49.62%% lower than the 52 week high of $13.60.
Earnings growth is an important factor to consider when buying stocks and investors watch for companies that have raised their earnings at least 25% or more for the past 3 years.
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