Barracuda Networks Inc. (CUDA) Stock Up After Upgrade at Piper Jaffray Cos.

Barracuda Networks Inc. (NYSE: CUDA) shares rose in value in early trade today on heavier trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.

Meanwhile stocks opened fat this morning as investors wait on the minutes from the Federal Reserve’s latest policy meeting, which may confirm expectations for a December rate hike.

The S&P 500 was up 2 points, or 0.1%, to 2,138. The Dow Jones Industrial Average was flat at 18,128. The Nasdaq Composite began the session unchanged at 5,247.

Analysts at Piper Jaffray Cos. upgraded shares of Barracuda Networks Inc. (NYSE: CUDA) from Neutral to Overweight today. With a rating of Overweight on the shares, Barracuda Networks Inc. has a 52-week high of $26.69. The one-year price target of $21.89 is a decrease compared to the opening price of $26.53, that has caused a number of other analysts to report on the stock recently. Share prices often move to the upside on recommendations and new price targets of professional brokerage firms.

Shares of Barracuda Networks Inc. (NYSE: CUDA) opened at $26.53 yesterday and traded in a range between, $25.42 and $26.69, and last traded at $25.63, which is an increase of $2.29 or 0.10 over the previous closing price.

Barracuda Networks Inc. (NYSE: CUDA) currently has a market cap of 1.34B.

Barracuda Networks Inc.Trading Volume

The stock’s average daily volume is 457,215 shares out of a total float 23,964,000 and some 2,729,911 shares crossed the trading desk yesterday, above normal. Considerable volume aggregation by institutional investors may be in the near future as the combination of substantial increases in trading volume and price inflation can be determining components.

While higher trading for one day will not mean much, conversely, a trend of heavy trading volume on the buy side over a period of days or weeks expresses a positive signal to market traders that institutions may be moving in, so institutional sponsorship is crucial.

Institutional sponsorship just refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.

These instituitional investors have teams of analysts that research thousands of stocks. So watching their interests is a good way to ensure you are buying the right stocks.

Barracuda Networks Inc. 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 useful judgments on trades when they follow the activity of professional investors.

Trades for Barracuda Networks Inc. (NYSE: CUDA) have ranged from $9.44 – 26.690, and the stock now has a 50-day MA of $23.86 and 200-day MA of $19.13. Today’s last price is 0.04% lower than the 52 week high of $26.69.

Indeed, earnings growth is among the most crucial things to look at in regards to stock investing and, accordingly, investors seek companies that have been successful at growing their earnings by at least 25% 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.

Leave a Reply

Your email address will not be published. Required fields are marked *