Raymond James Financial Inc. (Bank Of New York Mellon Corp.: NYSE) shares rose in value Wednesday Dec 28 with lighter 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 were little changed on Wednesday, as investors found few reasons to keep pushing shares higher towards the 20,000 mark.
The Dow Jones Industrial Average DJIA, -0.11% rose 3.1 points to 19,949, essentially unchanged on the day. The S&P 500 SPX, -0.39% lost 3 points, or 0.1%, to 2,266 while the Nasdaq Composite Index COMP, -0.59% slipped 6.4 points, or 0.1%, to 5,482.
Analysts at Raymond James Financial Inc. upgraded shares of Raymond James Financial Inc. (Bank Of New York Mellon Corp.: NYSE) from Outperform to Strong-Buy today. Raymond James Financial Inc. currently has a rating of Strong-Buy on the shares. As a means of comparison, a number of other analysts have issued reports on the company in recent days, and Bank Of New York Mellon Corp. has earned a consensus one-year price target of $51.17, above the opening price of $48.40. Bank Of New York Mellon Corp. stock has a 52-week high of $49.54. Share prices sometimes get a spike to the upside when analysts upgrade a stock.
Raymond James Financial Inc. (Bank Of New York Mellon Corp.: NYSE) shares last traded at $48.22, which represents a spike of $0.49 or 1.03% compared to the previous closing price. Opening at $48.40, they varied from $48.17 and $48.52 throughout the day.
Raymond James Financial Inc. (Bank Of New York Mellon Corp.: NYSE) currently has a market cap of 50.98B.
Raymond James Financial Inc. (Bank Of New York Mellon Corp.: NYSE) Average Daily Trading Volume
The stock’s average daily volume is 6,437,730 shares out of a total float 1,033,895,000 and some 728,448 shares traded hands yesterday, lower than normal. Momentum traders often use swings in trading volume to identify large volume aggregation or dissemination by institutional investors, so trading volume is likely to increase in the next few days.
However, one day of significant buy side trading is not enough to affirm a trend. So market traders will continue to watch for institutional sponsorship as a cue that financial institutions are moving forward.
Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Professional investors such as these have substantial teams of analysts researching thousands of stocks, so it is good validation to see them taking a postion in a stock you are considering.
Raymond James Financial Inc. (Bank Of New York Mellon Corp.: NYSE) 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 traders to make those trends work in their favor and increase the number of successful trades.
Trades for Raymond James Financial Inc. (Bank Of New York Mellon Corp.: NYSE) have ranged from $32.20 – 49.54, and the stock now has a 50-day MA of $47.51 and 200-day MA of $42.08. Today’s last price is 2.66%% lower than the 52 week high of $49.54.
Earnings growth is an important factor to look at when buying stocks and investors identify companies that have raised their earnings by at least 25% for the past 3 years.
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