Akebia Therapeutics, Inc. (NASDAQ: AKBA) shares rose on Tuesday February 14 on lower trade volume than normal after a number of analysts weighed in on the investing value of the stock and reiterated thier respective ratings.
Meanwhile U.S. stocks opened slightly lower on Tuesday. The main three benchmarks retreated after touching the latest in a series of record highs on Monday, with the S&P 500 index SPX, -0.09% down two points, or 0.1%, to 2,326.
The Dow Jones Industrial Average DJIA, -0.02% fell 34 points, or 0.2%, to 20,381. The Nasdaq Composite Index COMP, -0.13% shed eight points, or 0.1%, to 5,756.
Aegis analysts reiterated its Buy rating on Akebia Therapeutics, Inc. (NASDAQ: AKBA) in a note to investors, making it one of the more closely watched stocks on Wall Street. Aegis currently has a rating of Buy on the shares. The one-year price target of $16.00 is above the opening price of $10.11, that has caused a fair amount of other analysts to comment on the stock in recent days. Looking back over the last 52 weeks, Akebia Therapeutics, Inc. stock has a high of $11.07. Stock prices sometimes get a spike to the upside when analysts reiterate coverage.
Yesterday Akebia Therapeutics, Inc. (NASDAQ: AKBA) shares last traded at $10.21, which represents an increase of $0.20 compared to the previous closing price. Opening at $10.11, they ranged from $10.01 and $10.24 throughout the day.
Akebia Therapeutics, Inc. (NASDAQ: AKBA) currently has a market cap of 186.84M.
Akebia Therapeutics, Inc. (NASDAQ: AKBA) Average Daily Trading Volume
59,073 shares crossed the trading desk yesterday, 33 percent lower than normal, out of a total float 15,511,000. lower than normal. Look for trading volume to pick up in the coming days as swing traders often use upticks in trading volume to identify heavy volume accumulation or distribution 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 just refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors retain teams of analysts that investigate thousands of stocks, so it is good confirmation to see them buying a stock you’re considering.
Akebia Therapeutics, Inc. (NASDAQ: AKBA) 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 Akebia Therapeutics, Inc. (NASDAQ: AKBA) have ranged from $7.00 – 11.07, and the stock now has a 50-day MA of $10.00 and 200-day MA of $8.86. Today’s last price is 7.77%% under the 52 week high of $11.07.
Earnings growth is a critical factor to look at when buying stocks and investors seek companies that have raised their earnings by at least 25% over a 3 year period.
DISCLOSURE: The views and opinions expressed in this article 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.