VimpelCom Ltd. (NASDAQ: VIP) shares rose in value Thursday Dec 1 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 opened with slight gains on Thursday.
The Dow Jones Industrial Average DJIA, +0.31% rose 38.22 points, or 0.2%, to 19,174, while the S&P 500 SPX, +0.01% added 2.1 points to 2,202, a rise of 0.1%.
The Nasdaq Composite Index COMP, -0.32% rose less than 1 point to 5,323, essentially unchanged on the day.
Analysts at Zacks Investment Research upgraded shares of VimpelCom Ltd. (NASDAQ: VIP) from Sell to Hold today. With a rating of Hold on the stock, the company has a 52-week high of $4.51. As a means of comparison, a number of other analysts have spoken on the stock recently, and the company has earned a consensus one-year price target of $4.96, above the opening price of $3.39. Typically, after analysts give an upgrade report on a stock, they will later issue other revisions, usually followed by a price target change.
VimpelCom Ltd. (NASDAQ: VIP) shares last traded at $3.41, which is an increase of $0.05 or 1.34% from the previous closing price. Opening at $3.39, they fluctuated from $3.37 and $3.41 throughout the day.
VimpelCom Ltd. (NASDAQ: VIP) now has a market cap of 5,955.36B.
VimpelCom Ltd. (NASDAQ: VIP) Average Daily Trading Volume
471,268 shares crossed the trading desk yesterday, lower than the norm, out of a total float 491,680,000. Look for trading volume to pick up in the coming days as investors often use upticks in trading volume to determine substantial volume aggregation or distribution by institutional investors.
However, a single day of heavy buy side trading is not enough to determine a trend. As such, market traders will continue to watch for institutional sponsorship as an indicator that financial institutions are moving forward.
Institutional sponsorship just refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Institutional investors such as these have teams of analysts that investigate thousands of stocks, so it is good confirmation to see them taking a postion in a stock you are considering.
VimpelCom Ltd. (NASDAQ: VIP) 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 are able to make make more impactful judgments on trades when they track the trading habits of professional investors.
With that in mind, VimpelCom Ltd. (NASDAQ: VIP) now has a 50-day MA of $3.30 and 200-day MA of $3.74. It has traded in a 52-week range between $2.71 – 4.510 and today’s last price is 24.50%% lower than the 52 week high of $4.51.
Earnings growth is a critical factor to consider when buying stocks and investors seek companies that have been successful at growing their earnings by at least 25% over a 3 year period.
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