CDW Corp. (NASDAQ: CDW) shares rose on Thursday Nov 17 with lower trade volume than normal after a number of analysts weighed in on the investing value of the stock, boosting the price target of stock.
Meanwhile, stocks opened flat this morning, struggling for direction in early trade ahead of congressional testimony by Federal Reserve Chairwoman Janet Yellen. Ahead of an appearance before the Joint Economic Committee, Yellen said an interest-rate hike could come “relatively soon,”
The S&P 500 SPX, +0.25% fell less than 0.1% to 2,176.85 while Dow Industrials DJIA, -0.05% fell 9 points to 18,858. The Nasdaq Composite COMP, +0.18% declined 0.1% to 5,291.48.
CDW Corp. (NASDAQ: CDW) had its price target increased by equities researchers at RBC Capital Markets from $50.00 to $55.00. RBC Capital Markets currently has a rating of Outperform on the stock. The one-year price target of $49.00 is lower than the opening price of $50.66, resulting a fair amount of other analysts to report on the company in recent days. Looking back over the last 52 weeks, CDW Corp. stock has a high of $51.18.
Shares of CDW Corp. (NASDAQ: CDW) opened at $50.66 on Monday and traded in a range between, $50.59 and $51.18, and last traded at $50.87, which is a spike of $0.22 or 0.43% over the previous closing price.
CDW Corp. (NASDAQ: CDW) currently has a market cap of 8,164.99B.
CDW Corp. (NASDAQ: CDW) Average Daily Trading Volume
The stock’s average daily volume is 825,862 shares out of a total float 158,516,000 and some 99,295 shares crossed the trading desk yesterday, lower than normal. Momentum traders often use upticks in trading volume to identify substantial volume aggregation or distribution by institutional investors, so look for trading volume to pick up in the coming days.
However, a single day of high volume buy side trading is not enough to determine a trend. As such, market traders will continue to watch for institutional sponsorship as a signal 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.
These instituitional investors retain substantial teams of analysts researching thousands of stocks, so it is good validation to see them buying a stock you’re considering.
CDW Corp. (NASDAQ: CDW) 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 influence—it allows for traders to make more impactful judgments on trades.
With that in mind, CDW Corp. (NASDAQ: CDW) now has a 50-day MA of $45.23 and 200-day MA of $43.44. It has traded in a 52-week range between $30.40 – 51.18 and today’s last price is 0.61%% lower than the 52 week high of $51.18.
Earnings growth is an important factor to research when investing in stocks and investors identify companies that have raised their earnings by at least 25% for the past 3 years.
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