Advanced Micro Devices Inc. (NASDAQ: AMD) shares rose in value Thursday Dec 15 with lower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Analysts at Morgan Stanley upgraded shares of Advanced Micro Devices Inc. (NASDAQ: AMD) from Underweight to Equal Weight today. Morgan Stanley currently has a rating of Equal Weight on the stock. A number of other analysts have commented on the company in recent days, and the company has secured a consensus one-year price target of $8.42, a decrease compared to the opening price of $10.68, a difference of 7.75 percent. Advanced Micro Devices Inc. stock has a 52-week high of $10.93. Share prices sometimes get a bounce to the upside when analysts upgrade a stock.
Shares of Advanced Micro Devices Inc. (NASDAQ: AMD) opened at $10.68 on Tuesday trading between $10.64 and $10.93, and last traded at $10.87, which represents an increase of $0.32 or 3.03% from the previous closing price.
Advanced Micro Devices Inc. (NASDAQ: AMD) now has a market cap of 10.08B.
Advanced Micro Devices Inc. (NASDAQ: AMD) Average Daily Trading Volume
11,761,141 shares crossed the trading desk yesterday, lower than the average, out of a total float 777,846,000. Momentum traders often use swings in trading volume to determine heavy volume aggregation or dissemination by institutional investors, so trading volume is likely to increase in the next few days.
While an increase in 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 indicator to market traders that institutions may be moving in, so institutional sponsorship is critical.
Institutional sponsorship just refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors retain teams of analysts researching thousands of stocks. So watching their interests is a good way to make sure you are buying the right stocks.
Advanced Micro Devices Inc. (NASDAQ: AMD) 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 following the activity of these professional investors—and the moving averages they influence— traders can make well planned trades.
With that in mind, Advanced Micro Devices Inc. (NASDAQ: AMD) now has a 50-day MA of $8.21 and 200-day MA of $6.62. It has traded in a 52-week range between $1.75 – 10.93 and today’s last price is 0.55%% lower than the 52 week high of $10.93.
Earnings growth is an important factor to consider when buying stocks and investors watch for companies that have grown their earnings at least 25% or more for 3 consecutive years.
DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of the website. Readers should not consider statements made by the author as formal recommendations and should consult their financial adviser before making any investment decisions. To read our full disclosure, please see our terms and conditions page.