Adobe Systems Incorporated (NASDAQ: ADBE) shares rose on Wednesday February 8 on lighter trade volume than normal after a number of analysts weighed in on the investing value of the stock, boosting the price target of stock.
Meanwhile U.S. stocks traded modestly lower on Wednesday, as losses in energy shares following a drop in oil prices and a slide in financials weighed on the main indexes.
The S&P 500 index SPX, -0.17% declined 6 points, or 0.3%, to 2,286, with six of the main sectors trading lower. Energy and financials were leading the losses, down more than 1%.
The Dow Jones Industrial Average DJIA, -0.26% was down 65 points, or 0.3%, to 20,021, a day after the blue-chip index set an intraday high at 10,155.35. The Nasdaq Composite COMP, -0.13% retreated from an all-time high set on Tuesday, falling 23 points, or 0.4%, to 5,650.
Adobe Systems Incorporated (NASDAQ: ADBE) had its price target increased by equities researchers at RBC Capital Markets from $115.00 to $125.00. The company currently has a rating of Outperform on the stock. The one-year price target of $122.76 is higher than the opening price of $115.00, causing a fair amount of other analysts to report on the stock in recent days. Looking back over the last year, Adobe Systems Incorporated stock has a high of $115.45.
Yesterday Adobe Systems Incorporated (NASDAQ: ADBE) shares last traded at $115.08, which represents an increase of $0.12 compared to the previous closing price. Opening at $115.00, they fluctuated from $114.45 and $115.20 throughout the day.
Adobe Systems Incorporated (NASDAQ: ADBE) currently has a market cap of 56.86B.
Adobe Systems Incorporated (NASDAQ: ADBE) Average Daily Trading Volume
167,090 shares crossed the trading desk yesterday, 56 percent lower than normal, out of a total float 492,196,000. lower than normal. Look for trading volume to pick up in the coming days as investors often use swings in trading volume to identify heavy volume accumulation or distribution by institutional investors.
While increased trading for one day will not mean much, however, 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 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 researching thousands of stocks, so it is good validation to see them buying a stock you’re considering.
Adobe Systems Incorporated (NASDAQ: ADBE) 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 spotting trends, moving averages allow investors to make those trends work in their favor and increase the number of successful trades.
Trades for Adobe Systems Incorporated (NASDAQ: ADBE) have ranged from $73.58 – 115.45, and the stock now has a 50-day MA of $109.17 and 200-day MA of $105.14. Today’s last price is 0.32%% below the 52 week high of $115.45.
Earnings growth is a critical factor to look at when buying stocks and investors seek companies that have increased their earnings by at least 25% for 3 consecutive years.
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