Buckeye Partners, L.P. (NYSE: BPL) shares fell in early trade today on lower trade volume than normal after more analysts initiated coverage on the stock.
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 Credit Suisse Group AG initiated coverage on Buckeye Partners, L.P. (NYSE: BPL) stock, rating the company at Neutral. With a rating of Neutral on the stock, Buckeye Partners, L.P. has a 52-week high of $75.10. A number of other analysts have issued reports on the company in recent days, and the company has secured a consensus one-year price target of $0.26, a decrease compared to the opening price of $69.90, a difference of 0.04 percent. After initiating coverage,, analysts and brokerage firms will subsequently re periodic updates. Changes in price targets are not uncommon.
Shares of Buckeye Partners, L.P. (NYSE: BPL) opened at $69.90 yesterday trading between $69.58 and $70.25, and last traded at $69.93, which is a decrease of $0.36 per share or -0.01 from the previous closing price.
Buckeye Partners, L.P. (NYSE: BPL) now has a market cap of 9.16B.
Buckeye Partners, L.P.Trading Volume
19,293 shares crossed the trading desk yesterday, lower than normal, out of a total float 123,677,000. Look for trading volume to pick up in the coming days as investors often use upticks in trading volume to pinpoint substantial volume accumulation or dissemination by institutional investors.
While increased trading for one day will not mean much, conversely, a trend of heavy trading volume on the buy side over a series of days or weeks expresses a positive signal to market traders that institutions may be moving in, so institutional sponsorship is crucial.
Institutional sponsorship commonly refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors retain substantial teams of analysts that investigate thousands of stocks, so it is good validation to see them buying a stock you are researching.
Buckeye Partners, L.P. 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 winning trades.
With that in mind, Buckeye Partners, L.P. (NYSE: BPL) now has a 50-day MA of $70.03 and 200-day MA of $70.48. It has traded in a 52-week range between $47.07 – 75.10 and today’s last price is 0.07% lower than the 52 week high of $75.10.
Earnings growth is a crucial factor to look at when investing in stocks and investors seek companies that have increased their earnings at least 25% or more over 3 consecutive years.
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